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Employment Dynamics in the Romanian Labor Market. A Markov Chain Monte Carlo Approach

  • Alexandru Voicu

We use micro data from the Romanian Labor Force Survey to analyze the effect of the restructuring process on the employment dynamics of urban residents in the Romanian labor market. We analyze the way personal characteristics influence individuals’ ability to adjust to labor market transformations. Sequential employment decisions made by individuals are modeled as Markov decision processes. The resulting multivariate probit models are estimated using Markov Chain Monte Carlo techniques.

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Paper provided by Society for Computational Economics in its series Computing in Economics and Finance 2002 with number 349.

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Date of creation: 01 Jul 2002
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Handle: RePEc:sce:scecf2:349
Contact details of provider: Web page: http://www.cepremap.cnrs.fr/sce2002.html/

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  1. Sorm, Vit & Terrell, Katherine, 2000. "Sectoral Restructuring and Labor Mobility: A Comparative Look at the Czech Republic," IZA Discussion Papers 111, Institute for the Study of Labor (IZA).
  2. Svejnar, Jan, 1999. "Labor markets in the transitional Central and East European economies," Handbook of Labor Economics, in: O. Ashenfelter & D. Card (ed.), Handbook of Labor Economics, edition 1, volume 3, chapter 42, pages 2809-2857 Elsevier.
  3. Geweke, John, 1989. "Bayesian Inference in Econometric Models Using Monte Carlo Integration," Econometrica, Econometric Society, vol. 57(6), pages 1317-39, November.
  4. Keane, Michael P, 1994. "A Computationally Practical Simulation Estimator for Panel Data," Econometrica, Econometric Society, vol. 62(1), pages 95-116, January.
  5. Bilsen, Valentijn & Konings, Jozef, 1998. "Job Creation, Job Destruction, and Growth of Newly Established, Privatized, and State-Owned Enterprises in Transition Economies: Survey Evidence from Bulgaria, Hungary, and Romania," Journal of Comparative Economics, Elsevier, vol. 26(3), pages 429-445, September.
  6. Tito Boeri & Christopher Flinn, 1997. "Returns to Mobility in the transition to a Market Economy," William Davidson Institute Working Papers Series 108, William Davidson Institute at the University of Michigan.
  7. Alexandru Voicu, 2002. "Labor Force Participation Dynamics in the Romanian Labor Market," William Davidson Institute Working Papers Series 481, William Davidson Institute at the University of Michigan.
  8. Bellmann Lutz & Estrin Saul & Lehmann Hartmut & Wadsworth Jonathan, 1995. "The Eastern German Labor Market in Transition: Gross Flow Estimates from Panel Data," Journal of Comparative Economics, Elsevier, vol. 20(2), pages 139-170, April.
  9. Foley, M.C., 1997. "Determinants of Unemployment Duration in Russia," Papers 779, Yale - Economic Growth Center.
  10. Mark C. Foley, 1997. "Determinants of Unemployment Duration in Russia," Working Papers 779, Economic Growth Center, Yale University.
  11. Faggio, Giulia & Konings, Jozef, 2003. "Job creation, job destruction and employment growth in transition countries in the 90s," Economic Systems, Elsevier, vol. 27(2), pages 129-154, June.
  12. Mark C. Foley, 1997. "Determinants of Unemployment Duration in Russia," William Davidson Institute Working Papers Series 81, William Davidson Institute at the University of Michigan.
  13. John S. Earle, 1997. "Industrial Decline and Labor Reallocation in Romania," William Davidson Institute Working Papers Series 118, William Davidson Institute at the University of Michigan.
  14. John Micklewright & Gyula Nagy, 1998. "The Implications of Exhausting Unemployment Insurance Entitlement in Hungary," Budapest Working Papers on the Labour Market 9802, Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences.
  15. Tito Boeri & Katherine Terrell, 2002. "Institutional Determinants of Labor Reallocation in Transition," Journal of Economic Perspectives, American Economic Association, vol. 16(1), pages 51-76, Winter.
  16. Ham, John C & Svejnar, Jan & Terrell, Katherine, 1998. "Unemployment and the Social Safety Net during Transitions to a Market Economy: Evidence from the Czech and Slovak Republics," American Economic Review, American Economic Association, vol. 88(5), pages 1117-42, December.
  17. Micklewright, John & Nagy, Gyula, 1995. "Unemployment Insurance and Incentives in Hungary," CEPR Discussion Papers 1118, C.E.P.R. Discussion Papers.
  18. Catalin Pauna & John S. Earle, 1998. "Long-term unemployment, social assistance and labor market policies in Romania," Empirical Economics, Springer, vol. 23(1/2), pages 203-235.
  19. Shorrocks, A F, 1978. "The Measurement of Mobility," Econometrica, Econometric Society, vol. 46(5), pages 1013-24, September.
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