On The Role Of Wages In The Ukrainian Transition Process : An Empirical Investigation
AbstractThere are two intriguing questions about the transition process undertaken by the Ukraine since its declaration of sovereignty in December 1991. (i) Why had one of the more prosperous republics of the former USSR in terms of economic development and population welfare been suffering of both a persistent and high inflation during the four first years of its young existence ? (ii) How - in the early months of 1996 - could the Ukrainian efficiently put an end to the skyrocketing of prices ? The aim of this paper is to understand how such an outstanding reversal of situation could occur. Firstly, in support of a cointegration test, we assert that between January 1992 and November 1995, the Ukraine was faced with a complex monetary regime in which wage was the economic variable through which most of the inflationary pressures passed, directly or indirectly. Secondly, we explain that since the beginning of 1996, the existent monetary regime has been replaced by a new one in which inflation is contained but wages and pensions arrears increase quickly. Such a situation is not sustainable in the short and we outline possible remedies.
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 EconWPA in its series Econometrics with number 0403009.
Length: 14 pages
Date of creation: 31 Mar 2004
Date of revision:
Note: Type of Document - pdf; pages: 14
Contact details of provider:
Web page: http://18.104.22.168
Cointegration; monetary regime; inflation; Ukraine; wages;
Other versions of this item:
- Fazio, Gioacchino & Hueber, Oliver, 1998. "On the Role of Wages in the Ukrainian Transition Process: An Empirical Investi¬gation," Economia Internazionale / International Economics, Camera di Commercio di Genova, vol. 51(4), pages 517-529.
- C1 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General
- C2 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables
- C3 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables
- C4 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics
- C5 - Mathematical and Quantitative Methods - - Econometric Modeling
- C8 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-04-04 (All new papers)
- NEP-CIS-2004-04-04 (Confederation of Independent States)
- NEP-CWA-2004-04-04 (Central & Western Asia)
- NEP-TRA-2004-04-04 (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.:
- Heiner, Ronald A, 1983. "The Origin of Predictable Behavior," American Economic Review, American Economic Association, vol. 73(4), pages 560-95, September.
- Cukierman, Alex & Edwards, Sebastian & Tabellini, Guido, 1992.
"Seigniorage and Political Instability,"
American Economic Review,
American Economic Association, vol. 82(3), pages 537-55, June.
- Stock, James H, 1987. "Asymptotic Properties of Least Squares Estimators of Cointegrating Vectors," Econometrica, Econometric Society, vol. 55(5), pages 1035-56, September.
- Halushka, Andrij & Savluk, Sergei & Wörgötter, Andreas, 1994. "Ukrainian Hyperinflation: History, Analysis, Recommendations," East European Series 10, Institute for Advanced Studies.
- Engle, Robert F & Granger, Clive W J, 1987. "Co-integration and Error Correction: Representation, Estimation, and Testing," Econometrica, Econometric Society, vol. 55(2), pages 251-76, March.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (EconWPA).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.