Micheal Perelman wrote:
This paper studies the Italian labor market during the 1930s. Using monthly data on eight manufacturing sectors for the period 1929-1939, we evaluate the effects of the introduction, at the end of 1934, of the 40 h working week on the demand for labor. The results support the view that the reduction of the level of standard hours can be effective in stimulating employment provided that it does not imply an increase in hourly wage rates. =============================== "Provided it does not imply an increase in hourly wage rates." That is to say, "shorter hours at a loss in pay" or "worksharing" rather than "shorter hours at NO loss in pay" which was the demand of the labour movement in its heyday. Modern employers have been engaged for decades in converting large parts of the full-time workforce into part-time and casual help - leaving workers with fewer hours but less income - and there is no agreement among economists about the overall employment effects.
