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Modeling the Impact of Labor Law on the Assessment of Human Resources

Modeling the Impact of Labor Law on the Assessment of Human Resources

Journal of Institutional Studies, , Vol. 11 (no. 4),

This study is devoted to the analysis of the existence and nature of the relationship between labor law and the organization of the labor market. The study of the relationship between the system of law and the economic life of society has attracted the attention of specialists for more than a hundred years. To the 50-th years of XX century in the framework of neoinstitutionalism formed a discipline “Economic analysis of law” (Law and Economics, Economic Analysis of Law), whose main task is to study the interaction of law and economic society. One of its directions is the positive economic analysis of the right (positive law and economics) focused on an assessment or forecasting of influence of legal norms on behavior of individuals. This study is related to it in the context of regulation of labor relations. Its results can be used in the analysis of costs associated with the formation of resources and benefits in the planning of economic activities. Rational investment policy in relation to resources largely ensures the long-term (strategic) success of the organization. In particular, interaction with the institutional environment plays an important role in the implementation of the resource strategy. Taking into account the nature of the impact of this environment on economic activity allows you to optimize transaction and transformation costs. Part of the institutional environment is determined by the system of law and, in particular, labor law, regulating the activities of organizations related to the formation and management of human resources. The object of this study is the labor market of professional football players. It possesses a number of unique traits. In particular, inefficient allocation of human resources ensures high profitability of economic activities of its participants. The results of modeling the pricing of transfers in this study show in favor of a significant statistical relationship between the cost of transfer and some indicators of the legal field of the labor market.

Keywords: labor law; the institution of transfer; resource strategy; human capital; physical capital; cost of transfer; Heckman model; tobit–model

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