- 1815-1973 (online)
The views expressed in these papers are those of the author(s) and do not necessarily reflect those of the OECD or of the governments of its member countries.
Summary Indicators of Product Market Regulation with an Extension to Employment Protection Legislation
- Giuseppe Nicoletti, Stefano Scarpetta, Olivier Boylaud
- 13 Apr 2000
- Bibliographic information
This paper presents a database on indicators of product market regulations and employment protection legislation for most of the OECD countries and illustrates a methodology for aggregating these detailed indicators into summary indicators of the strictness of regulations. The summary indicators are obtained by means of factor analysis, in which each component of the regulatory framework is weighted according to its contribution to the overall variance in the data. These indicators are used to assess the regulatory approaches across countries as well as the interrelations between various sets of regulatory provisions. While regulatory provisions can be classified and assessed from a variety of standpoints, this paper focuses exclusively on the relative friendliness of regulations to market mechanisms: there is no attempt to assess the overall quality of regulations or their aptness in achieving their stated public policy goals. The guiding principle inspiring the conception of the ...
- employment protection legislation, product market regulation, data collection
- JEL Classification:
- C81: Mathematical and Quantitative Methods / Data Collection and Data Estimation Methodology ; Computer Programs / Methodology for Collecting, Estimating, and Organizing Microeconomic Data ; Data Access
- J38: Labor and Demographic Economics / Wages, Compensation, and Labor Costs / Public Policy
- K2: Law and Economics / Regulation and Business Law
- L5: Industrial Organization / Regulation and Industrial Policy