J38 - Public Policy

• Fixed-Term and Permanent Employment Contracts: Theory and Evidence

  Staff Working Paper 2011-21 Shutao Cao, Enchuan Shao, Pedro Silos

  This paper constructs a theory of the coexistence of fixed-term and permanent employment contracts in an environment with ex-ante identical workers and employers. Workers under fixed-term contracts can be dismissed at no cost while permanent employees enjoy labor protection.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Labour markets, Potential output, Productivity JEL Code(s): H, H2, H29, J, J2, J23, J3, J38

• Schooling, Inequality and Government Policy

  Staff Working Paper 2007-12 Oleksiy Kryvtsov, Alexander Ueberfeldt

  This paper asks: What is the effect of government policy on output and inequality in an environment with education and labor-supply decisions? The answer is given in a general equilibrium model, consistent with the post 1960s facts on male wage inequality and labor supply in the U.S. In the model, education and labor-supply decisions depend on progressive income taxation, the education system, the social security system, and technology-driven wage differentials.

  Content Type(s): Staff Research, Staff Working Papers Topic(s): Labour markets, Potential output, Productivity JEL Code(s): H, H5, H52, J, J3, J31, J38