💫Grateful for the chance to work with an amazing team of coauthors: @schoefer.bsky.social Christian Dustmann , Chiara Giannetto, Lorenzo Incoronato, Vincenzo Pezone, Raffaele Saggio,

Looking forward to feedback and discussion!

Increased wage-setting flexibility is associated with higher firm survival rates in both regions.

However, these results vary in areas where firms face less labor market competition (in our case in the South vs the Centre-North of Italy): there, opting into contracts with lower wage floors leads to BOTH lower wages and lower employment.