Job Creation and Emplozment in a Time of Crisis
Serbian economy has been severely affected by the latest global economic crisis. After salient slowdown in the last quarter of 2008, the national economy went into recession that was followed by gradual reductions in GDP and employment, transient fall in the rate of inflation and sustained rise in unemployment. Despite the fact that the corporate sector has even slightly enlarged during the observed period, it is evident that this sector has experienced significant contractions too. These contractions are evident due to permanent decline in firm size, owing to the negative employment growth, and due to deterioration in key business performance indicators. The dynamic of the growing number of enterprises was driven by micro and to some extent by small firms, which have narrow potentials for further growth of employment without significant enlargement of the number of enterprises. The Serbian economy is a vulnerable transition economy that strongly reacts to shocks. In regular conditions, before the global economic crisis, expansion of the corporate sector was not sufficient to absorb majority of workers. Following the background facts, in this chapter we have examined potentials for job creation and destruction by size of enterprises and main sectors of economic activity. For this purpose we have used the nationally representative survey of firm-level data collected during May 2011. We have found that Serbian economy creates 7.6% of new jobs per year. Almost the same percentage of jobs has been destroyed, meaning that job destruction in contracting firms contributes in almost the same proportion to the excess job reallocation as creation of new jobs in expanding firms.
|This chapter was published in: ||This item is provided by Institute of Economic Sciences in its series Book Chapters with number
msc-20.||Handle:|| RePEc:ibg:chaptr:msc-20||Contact details of provider:|| Postal: 12 Zmaj Jovina St, 11000 Belgrade, Serbia|
Phone: +381 11 2622 357, 2623 055
Fax: +381 11 2181 471
Web page: http://www.ien.bg.ac.rs
More information through EDIRC
References listed on IDEAS
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.:
- Stepan Jurajda & Katherine Terrell, 2002.
"Job Growth in Early Transition: Comparing Two Paths,"
William Davidson Institute Working Papers Series
503, William Davidson Institute at the University of Michigan.
- Stepán Jurajda & Katherine Terrell, 2003. "Job growth in early transition: Comparing two paths ," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 11(2), pages 291-320, June.
- Stepan Jurajda & Katherine Terrell, 2002. "Job Growth in Early Transition: Comparing Two Paths," CERGE-EI Working Papers wp201, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
- Jurajda, Štepán & Terrell, Katherine, 2002. "Job Growth in Early Transition: Comparing Two Paths," IZA Discussion Papers 589, Institute for the Study of Labor (IZA).
- Dale T. Mortensen & Christopher A. Pissarides, 1993.
"Job Creation and Job Destruction in the Theory of Unemployment,"
CEP Discussion Papers
dp0110, Centre for Economic Performance, LSE.
- Mortensen, Dale & Pissarides, Christopher, 2011. "Job Creation and Job Destruction in the Theory of Unemployment," Economic Policy, Russian Presidential Academy of National Economy and Public Administration, vol. 1, pages 19 pages.
- Dale T. Mortensen & Christopher A. Pissarides, 1994. "Job Creation and Job Destruction in the Theory of Unemployment," Review of Economic Studies, Oxford University Press, vol. 61(3), pages 397-415.
- Maja Micevska, 2008. "The Labour Market in Macedonia: A Labour Demand Analysis," LABOUR, CEIS, vol. 22(2), pages 345-368, 06.
- Boris Vujcic, 1998. "Structural Changes in Employment in Croatia," Zagreb International Review of Economics and Business, Faculty of Economics and Business, University of Zagreb, vol. 1(2), pages 107-125, November.
When requesting a correction, please mention this item's handle: RePEc:ibg:chaptr:msc-20. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zorica Bozic)
If references are entirely missing, you can add them using this form.