Pulls, Pushes and Entitlement Failures in Labor Markets: Does the State of Development Matter?
AbstractThis study adapts a relatively novel model of off-farm labor supply to the changing conditions of Bulgaria during the 1990s. The model’s parameters are estimated separately for each of the three different waves of the Bulgarian Integrated Household Survey, each reflecting remarkably different environmental conditions. Both the parameter values and the changes therein from one survey year to another are explained and used to characterize the way different types of households allocate their labor between farm and off-farm activities. The results demonstrate that Bulgarian households display many of the same labor supply patterns, including entitlement failures, as have previously been observed only in very poor developing countries. As such, they have potentially important policy making implications.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 2258.
Length: 41 pages
Date of creation: Aug 2006
Date of revision:
Publication status: published as 'Off-farm Labour Supply and Labour Markets in Rapidly Changing Circumstances: Bulgaria during Transition' in: Economic Systems, 2011, 35 (3), 378 - 389
Contact details of provider:
Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Other versions of this item:
- Sumon Kumar Bhaumik & Ralitza Dimova & Jeffrey B. Nugent, 2006. "Pulls, Pushes and Entitlement Failures in Labor Markets: Does the State of Development Matter?," CEDI Discussion Paper Series 06-07, Centre for Economic Development and Institutions(CEDI), Brunel University.
- J2 - Labor and Demographic Economics - - Demand and Supply of Labor
- P23 - Economic Systems - - Socialist Systems and Transition Economies - - - Factor and Product Markets; Industry Studies; Population
- P36 - Economic Systems - - Socialist Institutions and Their Transitions - - - Consumer Economics; Health; Education and Training; Welfare, Income, Wealth, and Poverty
- O13 - Economic Development, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
- Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-08-26 (All new papers)
- NEP-DEV-2006-08-26 (Development)
- NEP-TRA-2006-08-26 (Transition Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jacoby, Hanan G, 1993.
"Shadow Wages and Peasant Family Labour Supply: An Econometric Application to the Peruvian Sierra,"
Review of Economic Studies,
Wiley Blackwell, vol. 60(4), pages 903-21, October.
- Jacoby, H.G., 1990. "Shadow Wages And Peasant Family Labor Supply; An Econometric Application To The Peruvian Sierra," Papers 73, World Bank - Living Standards Measurement.
- Ralitza Dimova & Ira N. Gang, 2004.
"Self-Selection And Earnings During Volatile Transition,"
William Davidson Institute Working Papers Series
2004-699, William Davidson Institute at the University of Michigan.
- Ira N. Gang & Ralitza Dimova, 2004. "Self-Selection And Earnings During Volatile Transition," Departmental Working Papers 200409, Rutgers University, Department of Economics.
- Dimova, Ralitza & Gang, Ira N., 2004. "Self-Selection and Earnings During Volatile Transition," IZA Discussion Papers 1158, Institute for the Study of Labor (IZA).
- Burton Abrams & Plamen Yossifov, 2003. "The Importance Of Property Rights For Economic Outcomes: Lessons From The Transfer Of Productive Assets From Collective To Private Ownership In Bulgarian Agriculture," Microeconomics 0302006, EconWPA.
- Falaris, Evangelos M., 2004. "Private and public sector wages in Bulgaria," Journal of Comparative Economics, Elsevier, vol. 32(1), pages 56-72, March.
- Alderman, Harold & Paxson, Christina H & DEC, 1992.
"Do the poor insure? A synthesis of the literature on risk and consumption in developing countries,"
Policy Research Working Paper Series
1008, The World Bank.
- Alderman, H. & Paxson, C.H., 1992. "Do the Poor Insure? A Synthesis of the Literature on Risk and Consumption in Developing Countries," Papers 164, Princeton, Woodrow Wilson School - Development Studies.
- Dessing, Maryke, 2002. "Labor supply, the family and poverty: the S-shaped labor supply curve," Journal of Economic Behavior & Organization, Elsevier, vol. 49(4), pages 433-458, December.
- Barry K. Goodwin & Matthew T. Holt, 2002. "Parametric and Semiparametric Modeling of the Off-Farm Labor Supply of Agrarian Households in Transition Bulgaria," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(1), pages 184-209.
- Heckman, James J, 1979.
"Sample Selection Bias as a Specification Error,"
Econometric Society, vol. 47(1), pages 153-61, January.
- Ashok Mishra & Barry Goodwin, 1998. "Income risk and allocation of labour time: an empirical investigation," Applied Economics, Taylor & Francis Journals, vol. 30(12), pages 1549-1555.
- Huffman, Wallace E & Lange, Mark D, 1989.
"Off-Farm Work Decisions of Husbands and Wives: Joint Decision Making,"
The Review of Economics and Statistics,
MIT Press, vol. 71(3), pages 471-80, August.
- Huffman, Wallace & Lange, Mark D., 1989. "Off-Farm Work Decisions of Husbands and Wives: Joint Decision Making," Staff General Research Papers 10986, Iowa State University, Department of Economics.
- Nelson, Forrest D., 1977. "Censored regression models with unobserved, stochastic censoring thresholds," Journal of Econometrics, Elsevier, vol. 6(3), pages 309-327, November.
- Dobrinsky, Rumen, 2000. "The Transition Crisis in Bulgaria," Cambridge Journal of Economics, Oxford University Press, vol. 24(5), pages 581-602, September.
- Rosenzweig, Mark R, 1980. "Neoclassical Theory and the Optimizing Peasant: An Econometric Analysis of Market Family Labor Supply in a Developing Country," The Quarterly Journal of Economics, MIT Press, vol. 94(1), pages 31-55, February.
- Benjamin, Dwayne, 1992. "Household Composition, Labor Markets, and Labor Demand: Testing for Separation in Agricultural Household Models," Econometrica, Econometric Society, vol. 60(2), pages 287-322, March.
- Woldenhanna, T. & Oskam, A., 2001. "Income diversification and entry barriers: evidence from the Tigray region of northern Ethiopia," Food Policy, Elsevier, vol. 26(4), pages 351-365, August.
- Weersink, Alfons & Nicholson, Charles & Weerhewa, Jeeveka, 1998. "Multiple job holdings among dairy farm families in New York and Ontario," Agricultural Economics, Blackwell, vol. 18(2), pages 127-143, March.
- Rutkowski, Jan J., 1999. "Labor markets and poverty in Bulgaria," Social Protection Discussion Papers 20817, The World Bank.
- Jolliffe, Dean, 2004. "The impact of education in rural Ghana: examining household labor allocation and returns on and off the farm," Journal of Development Economics, Elsevier, vol. 73(1), pages 287-314, February.
- Huffman, Wallace, 1980.
"Farm and Off-Farm Work Decisions: The Role of Human Capital,"
Staff General Research Papers
10973, Iowa State University, Department of Economics.
- Huffman, Wallace E, 1980. "Farm and Off-Farm Work Decisions: The Role of Human Capital," The Review of Economics and Statistics, MIT Press, vol. 62(1), pages 14-23, February.
- Reardon, Thomas, 1997. "Using evidence of household income diversification to inform study of the rural nonfarm labor market in Africa," World Development, Elsevier, vol. 25(5), pages 735-747, May.
- Dasgupta, Partha & Ray, Debraj, 1986. "Inequality as a Determinant of Malnutrition and Unemployment: Theory," Economic Journal, Royal Economic Society, vol. 96(384), pages 1011-34, December.
- Rozelle, Scott & Swinnen, Johan F.M., 2000. "Transition And Agriculture," Working Papers 11948, University of California, Davis, Department of Agricultural and Resource Economics.
- Barrett, C. B. & Reardon, T. & Webb, P., 2001. "Nonfarm income diversification and household livelihood strategies in rural Africa: concepts, dynamics, and policy implications," Food Policy, Elsevier, vol. 26(4), pages 315-331, August.
- Barrett, Christopher B. & Bezuneh, Mesfin & Clay, Daniel C. & Reardon, Thomas, 2001. "Heterogeneous Constraints, Incentives And Income Diversification Strategies In Rural Africa," Working Papers 14761, Cornell University, Department of Applied Economics and Management.
- Escobal, Javier, 2001. "The Determinants of Nonfarm Income Diversification in Rural Peru," World Development, Elsevier, vol. 29(3), pages 497-508, March.
- Rizov, Marian & Swinnen, Johan F.M., 2004. "Human capital, market imperfections, and labor reallocation in transition," Journal of Comparative Economics, Elsevier, vol. 32(4), pages 745-774, December.
- Ralitza Dimova, 2006. "Monopolistic wages or efficient contracts?," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 14(2), pages 321-347, 04.
- Ayal Kimhi, 2004.
"Family Composition and Off-Farm Participation Decisions in Israeli Farm Households,"
American Journal of Agricultural Economics,
Agricultural and Applied Economics Association, vol. 86(2), pages 502-512.
- Kimhi, Ayal, 2001. "Family Composition And Off-Farm Participation Decisions In Israeli Farm Households," Discussion Papers 14976, Hebrew University of Jerusalem, Department of Agricultural Economics and Management.
- Lanjouw, Jean O. & Lanjouw, Peter, 1995. "Rural nonfarm employment : a survey," Policy Research Working Paper Series 1463, The World Bank.
- Deininger, Klaus & Olinto, Pedro, 2001. "Rural Nonfarm Employment and Income Diversification in Colombia," World Development, Elsevier, vol. 29(3), pages 455-465, March.
- Russell L. Lamb, 2003. "Fertilizer Use, Risk, and Off-Farm Labor Markets in the Semi-Arid Tropics of India," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(2), pages 359-371.
- Stifel, David, 2010.
"The rural non-farm economy, livelihood strategies and household welfare,"
Journal of Cooperatives,
NCERA-210, vol. 4(1), March.
- Stifel, David, 2010. "The rural non-farm economy, livelihood strategies and household welfare," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 4(1), March.
- Chikwama, Cornilius, 2010. "The role of rural off-farm employment in agricultural development among farm households in low-income countries: Evidence from Zimbabwe," Journal of Cooperatives, NCERA-210, vol. 4(1), March.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak).
If references are entirely missing, you can add them using this form.