Labor Market Uncertainty and Private Sector Labor Supply in Russia
The development of a vibrant private sector has been one of the key failures of the transitional period in Russia. This paper develops a theoretical and empirical model of individual labor supply behavior under uncertainty, and estimates this model using data from the Russian Longitudinal Monitoring Survey for the years 1994 - 1996 & 1998. As hypothesized, a decrease in private sector earnings variability is estimated to increase the likelihood of private sector employment for individuals with constrained consumption smoothing ability. Evidence of ex-ante intra-household risk sharing is also found with individuals reducing their exposure to uncertainty by diversifying the portfolio of jobs held by their household.
|Date of creation:||01 Nov 2000|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: 734 763-5020
Fax: 734 763-5850
Web page: http://www.wdi.umich.edu
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jonathan Morduch, 1995.
"Income Smoothing and Consumption Smoothing,"
Harvard Institute of Economic Research Working Papers
1727, Harvard - Institute of Economic Research.
- Mark C. Foley, 1997. "Labor Market Dynamics in Russia," Working Papers 780, Economic Growth Center, Yale University.
- 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.
- Boeri, Tito & Flinn, Christopher J., 1999. "Returns to Mobility in the Transition to a Market Economy," Journal of Comparative Economics, Elsevier, vol. 27(1), pages 4-32, March.
- Tito Boeri & Christopher J. Flinn, . "Returns to Mobility in the Transition to a Market Economy," Working Papers 123, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University.
- Tito Boeri & Christopher J. Flinn, 1999. "Returns to Mobility in the Transition to a Market Economy," William Davidson Institute Working Papers Series 217, William Davidson Institute at the University of Michigan.
- Boeri, Tito & Flinn, Christopher J, 1999. "Returns to Mobility in the Transition to a Market Economy," CEPR Discussion Papers 2098, C.E.P.R. Discussion Papers.
- 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.
- Peter Gottschalk & Robert Moffitt, 1994. "The Growth of Earnings Instability in the U.S. Labor Market," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 25(2), pages 217-272.
- Meyer, Jack, 1987. "Two-moment Decision Models and Expected Utility Maximization," American Economic Review, American Economic Association, vol. 77(3), pages 421-30, June.
- Udry, Christopher, 1990. "Credit Markets in Northern Nigeria: Credit as Insurance in a Rural Economy," World Bank Economic Review, World Bank Group, vol. 4(3), pages 251-69, September.
- Earle, John S. & Sakova, Zuzana, 1999. "Entrepreneurship from Scratch: Lessons on the Entry Decision into Self-Employment from Transition Economies," IZA Discussion Papers 79, Institute for the Study of Labor (IZA).
- Shelly Lundberg & Robert A. Pollak, 1996. "Bargaining and Distribution in Marriage," Journal of Economic Perspectives, American Economic Association, vol. 10(4), pages 139-158, Fall.
- Dustmann, C. & van Soest, A., 1997.
"Public and Private Sector Wages of Male Workers in Germany,"
Economics Working Papers
eco97/13, European University Institute.
- Dustmann, Christian & van Soest, Arthur, 1998. "Public and private sector wages of male workers in Germany," European Economic Review, Elsevier, vol. 42(8), pages 1417-1441, September.
- Vladimir Gimpelson & Douglas Lippoldt, 1999. "Private sector employment in Russia: Scale, composition and performance," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 7(2), pages 505-533, July.
- Heckman, James, 2013.
"Sample selection bias as a specification error,"
Publishing House "SINERGIA PRESS", vol. 31(3), pages 129-137.
- Foley, M.C., 1997. "Labor Market Dynamics in Russia," Papers 780, Yale - Economic Growth Center.
- Lee, Lung-Fei, 1978. "Unionism and Wage Rates: A Simultaneous Equations Model with Qualitative and Limited Dependent Variables," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 19(2), pages 415-33, June.
- Shaw, Kathryn L, 1987. "The Quit Propensity of Married Men," Journal of Labor Economics, University of Chicago Press, vol. 5(4), pages 533-60, October.
- Chakrabarti, R., 1998. "Models of Remittances and Migration With or Without Cooperation," Papers 98-05, Wellesley College - Department of Economics.
- McElroy, Marjorie B & Horney, Mary Jean, 1981. "Nash-Bargained Household Decisions: Toward a Generalization of the Theory of Demand," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 22(2), pages 333-49, June.
When requesting a correction, please mention this item's handle: RePEc:wdi:papers:2000-359. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Laurie Gendron)
If references are entirely missing, you can add them using this form.