2014

Effects of Payroll Tax Cuts for Young Workers

Särtryck nr 2014:18

Författare: Per SkedingerÅr: 2014 Publikation: Nordic Economic Policy Review Årgång (nr): Nr. (1) Sidor: 125–167
Artikeln online (behörighet kan krävas)
Preliminär version

Effects of Payroll Tax Cuts for Young Workers Per Skedinger


In response to high and enduring youth unemployment, large payroll tax cuts for young workers were implemented in two Swedish reforms in 2007 and 2009. This paper analyses the effects of the reforms on worker outcomes and firm performance in the retail industry, an important employer of young workers. In general, the estimated effects on job accessions, separations, hours and wages, are small. For workers close to the minimum wage the estimates suggest larger, but still modest, effects on the probability of job accession. There is also some evidence of increasing profits in a subsample of firms that employed a relatively large number of young workers before the first reform, with estimated effects commensurate with small behavioural effects of the payroll tax cuts. The conclusion is that reducing payroll taxes is a costly means of improving employment prospects for the young.


Referens:
Skedinger, Per (2014), "Effects of Payroll Tax Cuts for Young Workers". Nordic Economic Policy Review Nr.(1), 125–167.

Per Skedinger

Kontakt

Tel: 08 665 4553
per.skedinger@ifn.se

Aktuell forskare

Niclas Berggren

Forskningsområden: Institutionell och politisk ekonomi; tillit, tolerans och religion; skönhetens betydelse i politiken.

Några av de frågor Niclas Berggren försöker besvara i sin forskning:

  • Hur påverkar t.ex. tillit, tolerans och religion ekonomins funktionssätt?
  • Finns det ett samband mellan graden av marknadsekonomi och sociala variabler (som tillit och tolerans)?

IFN kalendarium

Institutet för Näringslivsforskning, Grevgatan 34 - 2 tr, Box 55665, SE-102 15 Stockholm, Sweden | Tel: +46-(0)8-665 45 00 | info@ifn.se