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Regional Unemployment and Industrial Restructuring in Poland

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  • Newell, Andrew T.

    ()
    (University of Sussex)

  • Pastore, Francesco

    ()
    (University of Naples II)

Abstract

This paper studies regional unemployment inequality in Poland. We find that higher unemployment regions are those experiencing greater change in industrial structure. We also find high unemployment regions are those with higher inflow rates to unemployment rather than longer spells of unemployment. These findings suggest that regional unemployment varies importantly with job destruction in Poland. Econometric analysis of the determinants of employment to unemployment flows reinforces this impression. We use our estimates to assess the extent to which regional unemployment variation is due to economic restructuring. We show that this is cannot be done unambiguously and offer reasons why many previous attempts to separate out the effects of restructuring on unemployment have been unsuccessful.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 194.

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Length: 32 pages
Date of creation: Aug 2000
Date of revision:
Publication status: published in: Eastern European Economics, 2006, 44 (3), 5-28
Handle: RePEc:iza:izadps:dp194

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Keywords: unemployment; Industrial restructuring; Polish transition;

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References

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  1. Arulampalam, Wiji & Stewart, Mark B, 1995. "The Determinants of Individual Unemployment Durations in an Era of High Unemployment," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 105(429), pages 321-32, March.
  2. Bruce D. Meyer, 1988. "Unemployment Insurance And Unemployment Spells," NBER Working Papers 2546, National Bureau of Economic Research, Inc.
  3. Blanchard, Olivier Jean & Aghion, Philippe, 1994. "On the Speed of Transition in Central Europe," Scholarly Articles 4481322, Harvard University Department of Economics.
  4. Wood, Adrian, 1998. "Globalisation and the Rise in Labour Market Inequalities," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 108(450), pages 1463-82, September.
  5. Adrian Wood, 1995. "How Trade Hurt Unskilled Workers," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 9(3), pages 57-80, Summer.
  6. Lilien, David M, 1982. "Sectoral Shifts and Cyclical Unemployment," Journal of Political Economy, University of Chicago Press, University of Chicago Press, vol. 90(4), pages 777-93, August.
  7. Simon, Curtis J, 1988. "Frictional Unemployment and the Role of Industrial Diversity," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 103(4), pages 715-28, November.
  8. Boeri, Tito & Scarpetta, Stefano, 1996. "Regional mismatch and the transition to a market economy," Labour Economics, Elsevier, Elsevier, vol. 3(3), pages 233-254, October.
  9. Olivier Jean Blanchard & Lawrence F. Katz, 1992. "Regional Evolutions," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 23(1), pages 1-76.
  10. Kiefer, Nicholas M, 1988. "Economic Duration Data and Hazard Functions," Journal of Economic Literature, American Economic Association, American Economic Association, vol. 26(2), pages 646-79, June.
  11. Stephen Nickell, 1997. "Unemployment and Labor Market Rigidities: Europe versus North America," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 11(3), pages 55-74, Summer.
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Cited by:
  1. Cristiano Perugini & Marcello Signorelli, 2010. "Youth labour market performance in European regions," Economic Change and Restructuring, Springer, Springer, vol. 43(2), pages 151-185, May.
  2. Elena Bardasi & Chiara Monfardini, 2004. "Women's Employment, Children and Transition: An Empirical Analysis on Poland," Eastward Enlargement of the Euro-zone Working Papers, Free University Berlin, Jean Monnet Centre of Excellence wp25, Free University Berlin, Jean Monnet Centre of Excellence, revised 15 Oct 2004.
  3. Nicolas Fleury & Fabrice Gilles, 2012. "MOBILITES INTERGENERATIONNELLES DE CAPITAL HUMAIN ET RESTRUCTURATIONS INDUSTRIELLES. UNE EVALUATION POUR LE CAS DE LA France, 1946-1999," Working Papers, HAL hal-00988949, HAL.
  4. Ferragina, Anna Maria & Pastore, Francesco, 2005. "Mind the Gap: Unemployment in the New EU Regions," IZA Discussion Papers 1565, Institute for the Study of Labor (IZA).
  5. J Herbst & H Ingham & M Ingham, 2005. "Local unemployment in Poland," Working Papers 566803, Lancaster University Management School, Economics Department.
  6. Francesco Pastore & Joanna Tyrowicz, 2013. "Polish high unemployment and spatial labor turnover. Insights from panel data analysis using unemployment registry data," Working Papers, Faculty of Economic Sciences, University of Warsaw 2013-18, Faculty of Economic Sciences, University of Warsaw.
  7. Pastore, Francesco, 2013. "Primum vivere… Industrial Change, Job Destruction and the Geographical Distribution of Unemployment," IZA Discussion Papers 7126, Institute for the Study of Labor (IZA).
  8. Darja Borsic & Alenka Kavkler, 2009. "Duration of Regional Unemployment Spells in Slovenia," Managing Global Transitions, University of Primorska, Faculty of Management Koper, University of Primorska, Faculty of Management Koper, vol. 7(2), pages 123-146.
  9. Jan J. Rutkowski & Stefano Scarpetta, 2005. "Enhancing Job Opportunities : Eastern Europe and the Former Soviet Union," World Bank Publications, The World Bank, number 7408, August.
  10. Roberto Basile & Alessandro Girardi & Marianna Mantuano & Francesco Pastore, 2011. "Sectoral Shifts, Diversification and Regional Unemployment. Evidence From Local Labour Systems in Italy," WIFO Working Papers, WIFO 411, WIFO.
  11. Olga Demidova & Marcello Signorelli, 2010. "The Impact of Crises on Youth Unemployment of Russian Regions: An Empirical Analysis," Quaderni del Dipartimento di Economia, Finanza e Statistica, Università di Perugia, Dipartimento Economia, Finanza e Statistica 78/2010, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  12. H Ingham & M Ingham & J Herbst, 2008. "Why do Local Unemployment Rates in Poland Vary so Much?," Working Papers 594943, Lancaster University Management School, Economics Department.
  13. Pastore, Francesco & Tyrowicz, Joanna, 2012. "Labour Turnover and the Spatial Distribution of Unemployment: A Panel Data Analysis Using Employment Registry Data," IZA Discussion Papers 7074, Institute for the Study of Labor (IZA).
  14. Mussida, Chiara & Pastore, Francesco, 2012. "Is There a Southern-Sclerosis? Worker Reallocation and Regional Unemployment in Italy," IZA Discussion Papers 6954, Institute for the Study of Labor (IZA).
  15. Francesco Pastore, 2012. "Primum vivere . . . industrial change, job destruction and the geographical distribution of unemployment," IZA Journal of European Labor Studies, Springer, Springer, vol. 1(1), pages 1-15, December.
  16. Walsh, Patrick Paul, 2003. "The cyclical pattern of regional unemployment flows in Poland," Economic Systems, Elsevier, Elsevier, vol. 27(2), pages 155-169, June.
  17. Marcello Signorelli & Enrico Marelli, 2007. "Institutional change, regional features and aggregate performance in eight EU’s transition countries," Quaderni del Dipartimento di Economia, Finanza e Statistica, Università di Perugia, Dipartimento Economia, Finanza e Statistica 37/2007, Università di Perugia, Dipartimento Economia, Finanza e Statistica.

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