EMPLOYMENT INTENSITY OF GROWTH IN ITALY. A NOTE USING REGIONAL DATA
The aim of this paper is to provide a measure of the relationship between employment and output growth in Italy and to illustrate its dynamics across a relatively extended time-span (1970-2004). Given the well-known and persisting regional differences of labour market performance and dynamics in Italy, our analytical approach favours the exploitation of spatially disaggregated information, employing regional (NUTS 2) data. The availability of industry composition of employment and value added also allows light to be shed on sector employment intensity of output growth, and the estimation of sector elasticity to GDP describes structural change. The empirical analysis supplies quantitative information about the evolution of employment elasticity during the period considered, clearly depicting the well-known period of job-rich growth (observed since the mid-1990s), after a period of job-less growth. The outcomes also show how regional levels of analysis, together with industry breakdown, may provide very useful information, especially on policy grounds and the desirability of the extension of the study to European level.
employment elasticity, growth, productivity, regions
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