Update and extension of the labour market model :Final report

Table of Contents

• Update and extension of the Labour 1
• Market Model 1
• Update and extension of the Labour 3
• Market Model 3
• Table of Contents 5
• Figures and Tables 6
• 1. Introduction 8
• 2. Calibration and Institutional Details 11
• 2.1. Macroeconomic Data 11
• Costs incurred for opening a vacancy Costs incurred for firm-sponsored training Costs incurred for managerial effort to keep workers Administrative firing costs . 11
• 2.2. Educational Attainment and Demography 18
• 2.3. Consumption Profile 21
• 2.4. Public Revenues from Taxes and Social Security Contributions 22
• 2.5. Effective Corporate Tax Rates 24
• 2.6. Income Taxation and Social Security Contributions 25
• 2.7. Employment Protection Legislation EPL 34
• 2.8. Unemployment Benefits 36
• 2.9. Pension Benefits 63
• 2.10. Other Social Benefits 82
• 2.11. Update of Empirical Estimates 113
• 3. List of Variables 119
• 4. Illustrative Scenarios 121
• 4.1. Tax Structure Tax Shift from Income to Consumption Taxes 121
• 4.2. Enhancing Employment of Older Workers 135
• 4.3. Migration 142
• 5. Annex Specific Information for Modelling Experts 151
• 5.1. Corrections for Ireland and Countries with a High Trade Balance 151
• 5.2. Income Taxation and Social Security Contributions 151
• 5.3. Revenue Statistics 154
• 5.4. Pension System 157
• Literature 161