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Unemployment in East and West Europe

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  • Münich, Daniel
  • Svejnar, Jan

Abstract

In this paper, we use 1991-2005 panel data on the unemployed, vacancies, inflow into unemployment, and outflow from unemployment in five former communist economies and in the western part of Germany (a benchmark western economy) to examine the evolution of unemployment together with that of inflows into unemployment and vacancies. The comparison of the transition economies with an otherwise similar and spatially close market economy is useful because it enables us to identify the main differences and similarities in the evolution of the key variables, and thus draw conclusions as to whether different or similar factors cause high unemployment.

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Bibliographic Info

Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 6315.

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Date of creation: Jun 2007
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Handle: RePEc:cpr:ceprdp:6315

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Keywords: Communism; Labour; Transition; Unemployment;

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References

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  1. Oliver Jean Blanchard & Peter Diamond, 1989. "The Beveridge Curve," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 20(1), pages 1-76.
  2. Micael Castanheira De Moura & Gérard Roland, 2000. "The optimal speed of transition: a general equilibrium analysis," ULB Institutional Repository 2013/10011, ULB -- Universite Libre de Bruxelles.
  3. Konings, Jozef & Lehmann, Hartmut & Schaffer, Mark E., 1996. "Job creation and job destruction in a transition economy: Ownership, firm size, and gross job flows in Polish manufacturing 1988-1991," Labour Economics, Elsevier, vol. 3(3), pages 299-317, October.
  4. Blanchard, Olivier Jean & Aghion, Philippe, 1994. "On the Speed of Transition in Central Europe," Scholarly Articles 4481322, Harvard University Department of Economics.
  5. Boeri, Tito, 1998. "Enforcement of Employment Security Regulations, On-The-Job Search and Unemployment Duration," CEPR Discussion Papers 1850, C.E.P.R. Discussion Papers.
  6. John Ham & Jan Svejnar & Katherine Terrell, 1998. "Unemployment and the Social Safety Net During Transitions to a Market Economy: Evidence from the Czech and Slovak Republic," William Davidson Institute Working Papers Series 169, William Davidson Institute at the University of Michigan.
  7. J. Konings & H. Lehmann & M.E. Schaffer, 1996. "Job Creation and Job Destruction in a Transition Economy: Ownership, Firm Size," CERT Discussion Papers 9611, Centre for Economic Reform and Transformation, Heriot Watt University.
  8. Katherine Terrell & Vit Sorm, 1998. "Labor Market Policies and Unemployment in the Czech Republic," William Davidson Institute Working Papers Series 216, William Davidson Institute at the University of Michigan.
  9. Stepan Jurajda & Katherine Terrell, 2002. "Job Growth in Early Transition: Comparing Two Paths," CERGE-EI Working Papers wp201, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
  10. Lubomir Lizal & Jan Svejnar, 2001. "Investment, Credit Rationing and the Soft Budget Constraint: Evidence from Czech Panel Data," William Davidson Institute Working Papers Series 363, William Davidson Institute at the University of Michigan.
  11. Philippe Aghion & Olivier Jean Blanchard, 1994. "On the Speed of Transition Central Europe," NBER Working Papers 4736, National Bureau of Economic Research, Inc.
  12. Swati Basu & Saul Estrin & Jan Svejnar, 2005. "Employment determination in enterprises under communism and in transition: Evidence from Central Europe," Industrial and Labor Relations Review, ILR Review, Cornell University, ILR School, vol. 58(3), pages 353-369, April.
  13. Munich, Daniel & Svejnar, Jan, 2009. "Unemployment and Worker-Firm Matching Theory and Evidence from East and West Europe," Policy Research Working Paper Series 4810, The World Bank.
  14. Randolph Luca Bruno, 2006. "Optimal speed of transition with a shrinking labour force and under uncertainty ," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 14(1), pages 69-100, 03.
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Citations

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Cited by:
  1. Alena Bicakova & Jiri Slacalek & Michal Slavik, 2008. "Labor Supply after Transition: Evidence from the Czech Republic," CERGE-EI Working Papers wp351, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
  2. Stepan Jurajda & Katherine Terrell, 2007. "Regional Unemployment and Human Capital in Transition Economies," CERGE-EI Working Papers wp345, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
  3. Jeruzalski, Tomasz & Tyrowicz, Joanna, 2009. "(In)Efficiency of Matching - The Case of A Post-transition Economy," MPRA Paper 16598, University Library of Munich, Germany.
  4. Michal Franta, 2008. "Time Aggregation Bias in Discrete Time Models of Aggregate Duration Data," Working Papers 2008/10, Czech National Bank, Research Department.

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