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Employment Dynamics of Newly Established and Traditional Firms: A Comparison of Russia an the Ukraine

Author

Listed:
  • Jozef Konings
  • Patrick Paul Walsh

Abstract

In this paper we test the effects of ownership, competition and disorganisation on firm level employment dynamics using a unique data set of 150 Russian and 300 Ukrainian firms. Our results, in contrast to findings in Central and East European Countries, suggest that newly established firms do not out perform those that existed under central planning during the transition process. In addition, while competition seems to play no role in employment determination, disorganisation is shown to constrain firm employment in the Ukraine but not in Russia. Such outcomes are explained by the nature and timing of restructuring in these countries.

Suggested Citation

  • Jozef Konings & Patrick Paul Walsh, 1999. "Employment Dynamics of Newly Established and Traditional Firms: A Comparison of Russia an the Ukraine," LICOS Discussion Papers 8199, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
  • Handle: RePEc:lic:licosd:8199
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    File URL: http://www.econ.kuleuven.be/licos/publications/dp/dp81.pdf
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    Cited by:

    1. Konings, Jozef & Lehmann, Hartmut, 2002. "Marshall and Labor Demand in Russia: Going Back to Basics," Journal of Comparative Economics, Elsevier, vol. 30(1), pages 134-159, March.
    2. Ralitza Dimova, 2003. "The Impact on Structural Reforms on Employment Growth and Labour Productivity: Evidence from Bulgaria and Romania," William Davidson Institute Working Papers Series 2003-600, William Davidson Institute at the University of Michigan.
    3. Sergei Guriev & Barry W. Ickes, 2000. "Microeconomic Aspects of Economic Growth in Eastern Europe and the Former Soviet Union, 1950-2000," William Davidson Institute Working Papers Series 348, William Davidson Institute at the University of Michigan.
    4. Susan Linz, 2000. "Restructuring with What Success? A Case Study of Russian Firms," William Davidson Institute Working Papers Series 324, William Davidson Institute at the University of Michigan.
    5. Jozef Konings & Olga Kupets & Hartmut Lehmann, 2003. "Gross job flows in Ukraine," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 11(2), pages 321-356, June.

    More about this item

    Keywords

    employment; de novo firms; traditional firms;

    JEL classification:

    • P0 - Economic Systems - - General
    • O0 - Economic Development, Innovation, Technological Change, and Growth - - General
    • D0 - Microeconomics - - General

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