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Trade Liberalisation and Employment Effects in Ukraine Author info | Abstract | Publisher info | Download info | Related research | Statistics Atanas Christev
Olga Kupets
Hartmut Lehmann
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This paper addresses a controversial issue in the current literature, namely the effects of trade liberalisation on labour market job flows. It studies the case of Ukraine where we view the sudden openness of the economy to trade as a quasi-natural experiment. We use disaggregated data on manufacturing industries and customs data on trade flows according to the shifting trade patterns after the disintegration of CMEA trade regime. We provide some first evidence that 3-digit NACE sector job flows are driven by idiosyncratic factors within industries. Other things equal, there is increased labour shedding as larger non-state share in industry relates to less job creation and more job destruction. Trade openness does affect job flows in Ukrainian manufacturing disproportionately according to trade orientation. We find that while trade with CIS decreases job destruction, trade with the EU increases excess reallocation mainly through job creation.
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Paper provided by Centre for Economic Reform and Transformation, Heriot Watt University in its series CERT Discussion Papers with number
0506.
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Date of creation: 2005Date of revision:
Handle: RePEc:hwe:certdp:0506Contact details of provider: Postal: Edinburgh EH14 4AS Phone: +44(0)131 451 3497 Fax: +44(0)131 451 3497 Web page: http://www.som.hw.ac.uk/cert/ More information through EDIRC
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Keywords: Job creation job destruction Ukraine trade flows Other versions of this item:
Find related papers by JEL classification: E24 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution F14 - International Economics - - Trade - - - Country and Industry Studies of Trade J63 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Turnover; Vacancies; Layoffs P23 - Economic Systems - - Socialist Systems and Transition Economies - - - Factor and Product Markets; Industry Studies; Population
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