Macroeconomic impact of flexicurity on the integration of people with disabilities into the labour market. A two-regime spatial autoregressive analysis

The aim of this paper is to examine the impact of flexicurity upon regional labour market performance in the employment of disabled people. To this purpose, we estimate a matching function by means of a two-regime spatial autoregressive model on Italian regions for the period 2006–2011. Our results highlight the importance of spatial interactions in the matching process of disabled people, which enable Northern–Central Italy regions to find a job for a number of disabled persons five times higher than the one employed by Southern Italy regions.