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Labour market policy and the reallocation of labour across sectors

Author

Listed:
  • Jackman, Richard
  • Pauna, C

Abstract

This paper investigates the extent of labour market reallocation across broad industrial sectors in the transition economies of Eastern Europe since 1989. It offers various measures of the magnitude of labour misallocation and of the speed and efficiency of reallocation during the first half of the 1980s. It compares the performance of the economies of Eastern Europe with one another and with two Southern European economies, Greece and Portugal, which have also been experiencing substantial economic change. Contrary to much a priori theorising, the paper finds no correlation between unemployment and the speed or effectiveness of labour market reallocation. The authors argue that the analysis in the paper strengthens the case for an active as against a passive approach to labour market policy. This paper was produced as part of the Emerging Markets Programme

Suggested Citation

  • Jackman, Richard & Pauna, C, 1997. "Labour market policy and the reallocation of labour across sectors," LSE Research Online Documents on Economics 2047, London School of Economics and Political Science, LSE Library.
  • Handle: RePEc:ehl:lserod:2047
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    File URL: http://eprints.lse.ac.uk/2047/
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    References listed on IDEAS

    as
    1. Hughes, Gordon & Hare, Paul G, 1992. "Industrial Policy and Restructuring in Eastern Europe," Oxford Review of Economic Policy, Oxford University Press, vol. 8(1), pages 82-104, Spring.
    2. I Beleva & Richard Jackman & M Nenova-Amar, 1995. "The Labour Market in Bulgaria," CEP Discussion Papers dp0268, Centre for Economic Performance, LSE.
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    Citations

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    Cited by:

    1. Raiser, Martin & Schaffer, Mark & Schuchhardt, Johannes, 2004. "Benchmarking structural change in transition," Structural Change and Economic Dynamics, Elsevier, vol. 15(1), pages 47-81, March.
    2. Tito Boeri, 1999. "Transition with Labour Supply," William Davidson Institute Working Papers Series 274, William Davidson Institute at the University of Michigan.
    3. H Ingham & M Ingham, 2003. "State transitions in Polish agriculture," Working Papers 541970, Lancaster University Management School, Economics Department.
    4. John Earle, 2012. "Industrial decline and labor reallocation in a transforming economy: Romania in early transition," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 1(1), pages 1-18, December.
    5. Michael Landesmann & Hermine Vidovic, 2006. "Employment Developments in Central and Eastern Europe," wiiw Research Reports 332, The Vienna Institute for International Economic Studies, wiiw.
    6. Boris Vujèiæ, 1998. "Structural Changes in Employment: Where We Are, How We got There and Where Are We Going To?," Working Papers 9992, The Croatian National Bank, Croatia.
    7. Palan, Nicole & Schmiedeberg, Claudia, 2010. "Structural convergence of European countries," Structural Change and Economic Dynamics, Elsevier, vol. 21(2), pages 85-100, May.
    8. Tomasz Mickiewicz & Anna Zalewska, 2002. "Deindustrialisation. Lessons from the StructuralOutcomes of Post-Communist Transition," William Davidson Institute Working Papers Series 463, William Davidson Institute at the University of Michigan.
    9. repec:got:cegedp:75 is not listed on IDEAS

    More about this item

    JEL classification:

    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns
    • J01 - Labor and Demographic Economics - - General - - - Labor Economics: General

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