TY - RPRT AU - Perez, J. Ignacio Garcia AU - Marinescu, Ioana E. AU - Castello, Judit Vall TI - Can Fixed-Term Contracts Put Low Skilled Youth on a Better Career Path? Evidence from Spain PY - 2016/Feb/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 9777 UR - https://www.iza.org/publications/dp9777 AB - By reducing the commitment made by employers, fixed-term contracts can help low-skilled youth find a first job. However, the long-term impact of fixed-term contracts on these workers' careers may be negative. Using Spanish social security data, we analyze the impact of a large liberalization in the regulation of fixed-term contracts in 1984. Using a cohort regression discontinuity design, we find that the reform raised the likelihood of male high-school dropouts working before age 19 by 9%. However, in the longer run, the reform reduced number of days worked (by 4.5%) and earnings (by 9%). KW - temporary contracts KW - long-term impact KW - labour market career ER -