Redistribution Through Public Employment : The Case of Italy

  title={Redistribution Through Public Employment : The Case of Italy},
  author={Alberto F. Alesina and STEPHAN DANNINGER and Massimo Rostagno},
This paper examines the regional distribution of public employment in Italy. It documents two facts. The first is that public employment is used as a subsidy from the North to the less wealthy South. About half of the wage bill in the South of Italy can be identified as a subsidy. Both the size of public employment and the level of wages are used as a redistributive device. The second fact concerns the effects of subsidized public employment on individuals’ attitudes toward job search… CONTINUE READING
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