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Trust and employment protection legislation

Jayakody, Shashitha
; 
Morelli, D.
; 
Nica, M.
; 
Oberoi, J.
Publication Date
2024-01
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Keywords
Trust, Informal institutions, Labor laws, Investment
Rights
© 2023 The Authors. Published by Elsevier B.V. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/)
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Peer-Reviewed
Yes
Open Access status
openAccess
Accepted for publication
12/11/2023
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Management and Law Publications
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Abstract
We examine the role of generalized social trust in substituting for employment protection legislation. Using foreign direct investment from the US to a sample of OECD countries, we find that trust diminishes the importance of formal employment regulations in investment attractiveness.
URI
http://hdl.handle.net/10454/19707
Version
Published version
Citation
Jayakody S, Morelli D, Nica M et al (2024) Trust and employment protection legislation. Economics Letters. 234: 111441.
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Link to published version
Link to Version of Record
https://doi.org/10.1016/j.econlet.2023.111441
Type
Article
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