IDEAS home Printed from https://ideas.repec.org/a/pal/compes/v50y2008i2p318-340.html

Trade Liberalisation and Employment Effects in Ukraine

Author

Listed:
  • Atanas Christev

    ([1] Department of Economics and CERT, Heriot-Watt University, Edinburgh, UK [2] IZA, Schaumburg-Lippe, Str 7-9, D-53113 Bonn, Germany)

  • Olga Kupets

    ([1] 2IZA, Schaumburg-Lippe, Str 7-9, D-53113 Bonn, Germany [2] 3Department of Economics, National University-Kiev Mohyla Academy, Ukraine)

  • Hartmut Lehmann

    ([1] Department of Economics and CERT, Heriot-Watt University, Edinburgh, UK [2] IZA, Schaumburg-Lippe, Str 7-9, D-53113 Bonn, Germany [3] 4DARRT, Department of Economics, University of Bologna, Strada Maggiore 45, Bologna 40125, Italy)

Abstract

This paper addresses the effects of trade liberalisation on job flows. It studies the case of Ukraine where the sudden opening up of the economy to trade can be viewed as a quasi-natural experiment. We use disaggregated data on manufacturing industries and customs data on trade flows to account for shifting trade patterns after the disintegration of the Soviet Union and the Council of Mutual Economic Assistance (CMEA) trade regime. We provide, for the first time, evidence on job flows at the three-digit sector level in Ukrainian manufacturing and show that these flows are predominantly driven by idiosyncratic factors within industries. However, we also establish that trade openness does affect job flows differently across different trading areas. We find that while trade with Commonwealth of Independent States decreases job destruction, trade with the European Union increases excess reallocation mainly through job creation. Comparative Economic Studies (2008) 50, 318–340. doi:10.1057/palgrave.ces.8100250

Suggested Citation

  • Atanas Christev & Olga Kupets & Hartmut Lehmann, 2008. "Trade Liberalisation and Employment Effects in Ukraine," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 50(2), pages 318-340, June.
    • Handle: RePEc:pal:compes:v:50:y:2008:i:2:p:318-340
    as

    Download full text from publisher

    File URL: http://www.palgrave-journals.com/ces/journal/v50/n2/pdf/8100250a.pdf
    File Function: Link to full text PDF
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: http://www.palgrave-journals.com/ces/journal/v50/n2/full/8100250a.html
    File Function: Link to full text HTML
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or

    for a different version of it.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Joanna Tyrowicz & Lucas Velde & Jan Svejnar, 2017. "Effects Of Labor Reallocation On Productivity And Inequality—Insights From Studies On Transition," Journal of Economic Surveys, Wiley Blackwell, vol. 31(3), pages 712-732, July.
    2. Novella Bottini & Michael Gasiorek, 2009. "Trade and Job Reallocation: Evidence for Morocco," Working Papers 492, Economic Research Forum, revised Jun 2009.
    3. Kupets, Olga, 2016. "Education-job mismatch in Ukraine: Too many people with tertiary education or too many jobs for low-skilled?," Journal of Comparative Economics, Elsevier, vol. 44(1), pages 125-147.
    4. Mohamed Goaied & Seifallah Sassi, 2015. "Trade liberalisation and employment intensity of sectoral output growth: Lessons from Tunisia," The Economic and Labour Relations Review, , vol. 26(2), pages 261-275, June.
    5. Tom Coupé & Hannah Vakhitova, 2013. "Costs and Benefits of Labour Mobility between the EU and the Eastern Partnership Partner Countries. Country report: Ukraine," CASE Network Studies and Analyses 0464, CASE-Center for Social and Economic Research.
    6. Ma, Hong & Qiao, Xue & Xu, Yuan, 2015. "Job creation and job destruction in China during 1998–2007," Journal of Comparative Economics, Elsevier, vol. 43(4), pages 1085-1100.
    7. Hartmut Lehmann & Alexander Muravyev & Klaus Zimmermann, 2012. "The Ukrainian longitudinal monitoring survey: towards a better understanding of labor markets in transition," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 1(1), pages 1-15, December.
    8. Tyrowicz, Joanna & van der Velde, Lucas, 2018. "Labor reallocation and demographics," Journal of Comparative Economics, Elsevier, vol. 46(1), pages 381-412.
    9. Joanna Tyrowicz & Lucas Velde & Jan Svejnar, 2017. "Effects Of Labor Reallocation On Productivity And Inequality—Insights From Studies On Transition," Journal of Economic Surveys, Wiley Blackwell, vol. 31(3), pages 712-732, July.
    10. Miriam Frey, 2016. "Income Inequality Effects of Ukraine’s Trade Liberalization with the EU. Are there 'two Ukraines'?," EcoMod2016 9664, EcoMod.
    11. Kőrösi, Gábor, 2005. "Vállalati munkahelyteremtés és -rombolás [Corporate job creation and job destruction]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(11), pages 825-845.
    12. Xavier Cirera & Dirk Willenbockel & Rajith W.D. Lakshman, 2014. "Evidence On The Impact Of Tariff Reductions On Employment In Developing Countries: A Systematic Review," Journal of Economic Surveys, Wiley Blackwell, vol. 28(3), pages 449-471, July.
    13. Joanna Tyrowicz & Lucas van der Velde, 2014. "Can We Really Explain Worker Flows in Transition Economies?," Working Papers 2014-28, Faculty of Economic Sciences, University of Warsaw.

    More about this item

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • P23 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Factor and Product Markets; Industry Studies; Population

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:compes:v:50:y:2008:i:2:p:318-340. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave-journals.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.