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Returns to Mobility in the Transition to a Market Economy

Author

Listed:
  • Boeri, Tito
  • Flinn, Christopher J.

Abstract

In spite of ongoing dramatic changes in labor market structure, we present statistical evidence that transitional economies display rather low worker flows across sectors and occupations. Such low mobility can be explained by low returns to job changes as well as by market segmentation in the allocation of job offers. We develop an econometric model which enables us to characterize intertemporal changes in probabilities of dismissal, remuneration, and offer arrival rates on the basis of information on observed transitions and wage payments.

Suggested Citation

  • Boeri, Tito & Flinn, Christopher J., 1997. "Returns to Mobility in the Transition to a Market Economy," Working Papers 97-41, C.V. Starr Center for Applied Economics, New York University.
    • Handle: RePEc:cvs:starer:97-41
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    Keywords

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    JEL classification:

    • P23 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Factor and Product Markets; Industry Studies; Population
    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs

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