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Transition to Postindustrial Society? A Study of the Service Sector Employment in Russia

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  • Lukiyanova Anna

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Abstract

The transition to market economic systems in the countries of Central and Eastern Europe and the former Soviet Union involves fundamental shifts in the sectoral allocation of resources, in particular, dramatic changes in employment structures. Development of services in Russia turns to be more impressive than in many other transitional countries. This pa-per uses the Baumol-Fuchs model of the service sector expansion to estimate underdevelopment of services in Russia prior the transition and measure the progress in catching-up that has taken place thus far. Based on the Russian Longitudinal Monitoring Survey (1994-2000) empirical analysis demonstrates that sectoral variation in the difference between withdrawal from and entrance to the labor force is the main reason of changing distribution of labor. For job-to-job transitions low quality of current job matches, tenure effects and labor market segmentation are the most important explanation of intersectoral labor mobility.

Suggested Citation

  • Lukiyanova Anna, 2003. "Transition to Postindustrial Society? A Study of the Service Sector Employment in Russia," EERC Working Paper Series 03-09e, EERC Research Network, Russia and CIS.
  • Handle: RePEc:eer:wpalle:03-09e
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    References listed on IDEAS

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    1. Kravis, Irving B, 1984. "Comparative Studies of National Incomes and Prices," Journal of Economic Literature, American Economic Association, vol. 22(1), pages 1-39, March.
    2. Philippe Aghion & Olivier J. Blanchard, 1994. "On the Speed of Transition in Central Europe," NBER Chapters, in: NBER Macroeconomics Annual 1994, Volume 9, pages 283-330, National Bureau of Economic Research, Inc.
    3. Victor R. Fuchs, 1980. "Economic Growth and the Rise of Service Employment," NBER Working Papers 0486, National Bureau of Economic Research, Inc.
    4. Victor R. Fuchs, 1968. "The Service Economy," NBER Books, National Bureau of Economic Research, Inc, number fuch68-1, March.
    5. Daniel Gros & Marc Suhrcke, 2000. "Ten Years After: What is Special about Transition Countries?," CESifo Working Paper Series 327, CESifo.
    6. Victor R. Fuchs, 1968. "Some Implications of the Growth of a Service Economy," NBER Chapters, in: The Service Economy, pages 183-199, National Bureau of Economic Research, Inc.
    7. Louise Grogan, 2000. "Worker Flows in Russia," Tinbergen Institute Discussion Papers 00-008/3, Tinbergen Institute.
    8. Sabirianova, Klara Z., 2002. "The Great Human Capital Reallocation: A Study of Occupational Mobility in Transitional Russia," Journal of Comparative Economics, Elsevier, vol. 30(1), pages 191-217, March.
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    Citations

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    Cited by:

    1. Mal'tseva Inna, 2005. "Gender differences in occupational mobility and segregation at the labor market: The case of Russian economy," EERC Working Paper Series 05-11e, EERC Research Network, Russia and CIS.
    2. Tatyana Teplova, 2005. "Balancing Work and Care in the Post-Soviet Russian Labour Market," Carleton Economic Papers 05-04, Carleton University, Department of Economics.
    3. Anna LUKIYANOVA, 2008. "Structure and Distribution of Earnings in Russia, 1994–2003," The Journal of Comparative Economic Studies (JCES), The Japanese Society for Comparative Economic Studies (JSCES), vol. 4, pages 9-40, December.

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    More about this item

    Keywords

    Russia; transition; labor mobility; sectoral restructuring; services;
    All these keywords.

    JEL classification:

    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • L80 - Industrial Organization - - Industry Studies: Services - - - General
    • P20 - Economic Systems - - Socialist Systems and Transition Economies - - - General

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