Institute for Economic and Social Research – Faculty of Economics and Business – Universitas Indonesia

Labor Market Flexibility and the Impact of the Financial Crisis

AbstractThe impact of the global financial crisis varies across countries. We examine whether cross-country differences in output loss and speed of recovery are affected by differences in labor market flexibility. By employing cross-country regressions and including control variables like trade and capital market integration, fiscal balance, financial vulnerability, and institutional differences, we find that lower […]