IDEAS home Printed from https://ideas.repec.org/p/cfr/cefirw/w0017.html
   My bibliography  Save this paper

Staying Longer on Unemployment Register in Russia: Lack of Education, Bad Luck or Something Else?

Author

Listed:
  • Irina Denisova

    () (Center for Economic and Financial Research and New Economic School)

Abstract

Using individual-level data on registered unemployed collected by the Federal Employment Service in Voronezh province of Russia (1996-2000), we test some basic hypotheses on the influence of individual attributes (gender and education, in particular), working history, the specifics of the regulatory framework, and regional labor market characteristics on the hazard ratios, and hence, on duration of unemployment. We obtain empirical support for gender and educational differentials in unemployment duration: women tend to stay longer in the pool, and there are gender asymmetries in the influence of employment history on unemployment duration; those with junior professional education have significantly higher exit rates from unemployment as compared with those with general secondary education, while secondary professional and university degrees do not help you leave unemployment. There appears to be a “premium” in terms of higher exit rate for males with experience in private enterprise, but not for females, while the configuration of the local labor market does matter for both: those living in municipalities with highly concentrated labor markets tend to have longer unemployment spells. We find positive duration dependence, with the relevant coefficient in Weibull specification being around 1.8. The result could be driven by the increasing with unemployment time liquidity constraint that reduces reservation wage significantly. Together with almost infinite downward wage flexibility in the Russian labor market, that implies that the demand for whatever job could arise at certain time and be met by the offers available in the labor market. Positive duration dependence seems to suggest that this liquidity constraint argument overweigh the influence of education, experience and other factors on reservation wage at some point in time.

Suggested Citation

  • Irina Denisova, 2001. "Staying Longer on Unemployment Register in Russia: Lack of Education, Bad Luck or Something Else?," Working Papers w0017, Center for Economic and Financial Research (CEFIR), revised Nov 2002.
  • Handle: RePEc:cfr:cefirw:w0017
    as

    Download full text from publisher

    File URL: http://www.cefir.ru/papers/WP17StayinglongeronUnemp_dur.pdf
    Download Restriction: no

    Citations

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


    Cited by:

    1. Kupets, Olga, 2006. "Determinants of unemployment duration in Ukraine," Journal of Comparative Economics, Elsevier, vol. 34(2), pages 228-247, June.
    2. Ivan Samson & Patrick Ternaux, 2008. "Innovative Economic Behaviour in Russia: the Case of Labour Markets," Journal of Innovation Economics, De Boeck Université, vol. 0(1), pages 63-85.
    3. Anton Nivorozhkin, 2005. "New estimates of the risk and duration of registered unemployment in urban Russia," UCL SSEES Economics and Business working paper series 60, UCL School of Slavonic and East European Studies (SSEES).

    More about this item

    Keywords

    Unemployment; Duration Analysis; Gender Differentials; Transition;

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing
    • P23 - Economic Systems - - Socialist Systems and Transition Economies - - - Factor and Product Markets; Industry Studies; Population

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:cfr:cefirw:w0017. 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: (Julia Babich). General contact details of provider: http://edirc.repec.org/data/cefirru.html .

    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 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.