Table 7 Determinants of reform stance, selected domains, with controls for initial policy levels
From: A decade of labour market reforms in the EU: insights from the LABREF database
(1) | (2) | (3) | (4) | |
|---|---|---|---|---|
Dependent variable: reform stance by domain | Labour Taxation | Unempl. Benefits | EPL | EPL (temp. contracts) |
Per-capita GDP in 2000 | −0.036 | −0.004 | −0.005 | −0.005 |
(0.022) | (0.011) | (0.014) | (0.009) | |
New Member State (dummy) | −0.538 | −0.359 | 0.194 | −0.169 |
(0.495) | (0.292) | (0.368) | (0.190) | |
Unemployment rate (1st lag) | −0.105** | 0.019 | −0.030 | 0.011 |
(0.043) | (0.021) | (0.035) | (0.022) | |
Output gap < −4 (dummy) | 1.203 | −0.420 | 0.104 | 0.109 |
(0.738) | (0.324) | (0.385) | (0.230) | |
Parliamentary election year (dummy) | 0.022 | 0.105 | 0.047 | 0.001 |
(0.249) | (0.154) | (0.159) | (0.113) | |
1 year after parl. elections (dummy) | 0.126 | −0.334 | −0.253 | −0.040 |
(0.266) | (0.221) | (0.211) | (0.121) | |
Fraction of seats held by the government in Parliament | −0.878 | −0.764 | 1.375 | 0.617 |
(1.199) | (1.089) | (0.886) | (0.515) | |
Fixed exchange rate (dummy) | −0.129 | 0.237 | −0.082 | −0.103 |
(0.223) | (0.179) | (0.210) | (0.096) | |
Real interest rate spread (1st lag) | 0.011 | −0.012 | −0.096** | −0.083*** |
(0.046) | (0.032) | (0.038) | (0.026) | |
Net lending of general government (1st lag) | −0.091** | 0.043** | 0.012 | −0.004 |
(0.041) | (0.019) | (0.020) | (0.013) | |
Tax wedge (1st lag) | −0.032** | |||
(0.014) | ||||
Net replacement rate of unemployment benefits, (1st lag) | −0.014*** | |||
(0.005) | ||||
Employment protection index, regular contracts (1st lag) | −0.194* | |||
(0.113) | ||||
Employment protection index, temporary contracts (1st lag) | 0.030 | −0.015 | ||
(0.088) | (0.052) | |||
Observations | 241 | 229 | 222 | 222 |
R-squared | 0.229 | 0.113 | 0.179 | 0.110 |