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We study the effect of childbirth and its timing on female labour market outcomes in Italy. The impact on yearly labour earnings and participation is traced up to 21 years since school completion by estimating a factor analytic model with dynamic selection into treatments. We find that childbearing, especially the first delivery, negatively affects female labour supply. Women having their first child soon after school completion are able to catch up with childless women only after 12–15 years. The timing matters, with minimal negative consequences observed if the first child is delayed up to 7–9 years after exiting formal education.

In this paper we investigate the effect of the restructuring of university studies that took place in Italy after the introduction of the «3+2» reform on student time allocation and performance. We use data from an Economics Faculty and propensity score matching, which allow us to account for many confounding factors that are likely to affect the before-after reform comparison, to investigate changes in student time allocation and performance in the first-year exams. Our analysis provides lower bound estimates of the change in lecture attendance, self-study time and student performance after the reform, showing that despite a decrease in workload, student performance measured in terms of average grades and of number of exam attempts failed improved. We argue that although this can be explained either by an increase in university effectiveness or by grade inflation, several pieces of evidence support the second explanation.

After the introduction of the IRAP tax in the Italian fiscal system, taxes paid by firms are computed as a percentage of the value added, rather than net income. Such a reform is likely to change firms' behaviour. In this paper we analyse the effects of the IRAP on the optimal behaviour of a firm operating in a monopolistic competition setting, in terms of changes in factor utilisation, production and profits. The theoretical model is used to evaluate empirically the expected effects of tax reform on the largest firms of the Marche Region.

In Italy the reforms of the last twenty years shaped a dual labour market with different levels of employment protection for permanent jobs, on one side, and temporary jobs like apprenticeships and fixed-term contracts, on the other side. The main difference between apprentices and other types of temporary workers is that the former should receive firm-provided training. The firm incentive in hiring apprentices consists in the possibility to pay lower wages and in a reduction in labour taxes. Using an Italian administrative longitudinal dataset containing information on all the job contracts started between January 2009 and June 2012, we estimate hazard functions towards permanent jobs and contrast the ones of apprentices with those of other types of temporary workers. The hazard function estimates based on a regression discontinuity approach affirm that apprenticeships are sorts of "long entrance halls" towards open-ended contracts, especially within the same firm where the apprenticeship was performed.

In this paper, we analyze the higher education choices of Italian secondary school leavers by addressing the roles of university quality, costs and geographical distance to the institution as well as the relationship between students’ choices and their personal and household’s attributes, such as individual secondary school background and the socio-economic condition of the family of origin. Grounding such decision process on the framework of the Random Utility Model (RUM), we provide empirical evidence on the determinants of students’ choices by estimating a nested logit model on the ISTAT survey of secondary school graduates. Results show that the effects of increasing costs of enrollments and university standards are strongly differentiated across sub-groups of individuals. In particular, the choice probability of weaker students, in the sense of secondary school background and household’s socio–economic condition, is more sensitive to changes in university costs and quality.

In this paper we describe the hypothesis of effort-based career opportunities as a situation in which profit maximizing firms create incentives for employees to work longer hours than the bargained ones, by making career prospects dependent on working hours. When effortbased career opportunities are effective, they raise working time and output per worker reducing workers? utility. A first attempt is made to empirically estimate the relationship between hours worked and the expected opportunities of promotion using the British Household Panel Survey data set. Our analysis shows that the perceived probability of promotion increases with working time and that this result is robust to various econometric specifications.

We introduce an efficiency-wage mechanism into an innovation-driven growth model. Due to informational problems, the labour market is segmented and homogeneous workers may be employed either in a non-competitive intermediate sector or in a competitive research one. We analyse the impact that variations in the monopoly power of the intermediate firms may have on unemployment, wage inequality and growth. We find that the lower the product market competition in the intermediate sector, the higher the research employment, the lower the intermediate sector employment, the higher the aggregate growth rate. Growth and inequality are negatively correlated whereas growth and unemployment are positively correlated. The last two results are obtained through numerical simulations.