Firms and Social Protection: An Event Study

Firms and Social Protection: An Event Study How should we understand business interests in the welfare state when firms have strategic incentives to misrepresent their preferences? This article uses an event study to uncover firms’ preferences over social protection. We use the stock market’s response to proposed legal changes in employment and wage protection to test class- versus skill-based understandings of employer preferences. Using data from France between 1997 and 2003, we find evidence in favor of the skill-centered approach. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Comparative Political Studies SAGE

Firms and Social Protection: An Event Study

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Publisher
SAGE
Copyright
© The Author(s) 2018
ISSN
0010-4140
eISSN
1552-3829
D.O.I.
10.1177/0010414018774375
Publisher site
See Article on Publisher Site

Abstract

How should we understand business interests in the welfare state when firms have strategic incentives to misrepresent their preferences? This article uses an event study to uncover firms’ preferences over social protection. We use the stock market’s response to proposed legal changes in employment and wage protection to test class- versus skill-based understandings of employer preferences. Using data from France between 1997 and 2003, we find evidence in favor of the skill-centered approach.

Journal

Comparative Political StudiesSAGE

Published: Dec 1, 2018

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