Labor Market Institutions and Unemployment Dynamics in Transition Economies

Labor Market Institutions and Unemployment Dynamics in Transition Economies
Author: Ms.Zuzana Brixiova
Publisher: International Monetary Fund
Total Pages: 47
Release: 1997-10-01
Genre: Business & Economics
ISBN: 1451930569

This paper studies interactions between labor market institutions and unemployment dynamics in transition economies. It presents a dynamic matching model in which state sector firms endogenously shed labor and private job creation takes time. Two main conclusions arises. First, higher unemployment benefits increase steady-state unemployment, and, during the transition, they reduce the fall in real wages and speed up closure of state enterprises. Second, higher minimum wages can theoretically speed up the elimination of state sector jobs without affecting steady-state unemployment. These results are broadly consistent with existing evidence on the dynamics of unemployment and real wages in transition economies.

Do Active Labor Market Policies Increase Employment?

Do Active Labor Market Policies Increase Employment?
Author: Mr.Marcello M. Estevão
Publisher: International Monetary Fund
Total Pages: 31
Release: 2003-12-01
Genre: Business & Economics
ISBN: 1451875649

Using panel data for 15 industrial countries, active labor market policies (ALMPs) are shown to have raised employment rates in the business sector in the 1990s, after controlling for many institutions, country-specific effects, and economic variables. Among such policies, direct subsidies to job creation were the most effective. ALMPs also affected employment rates by reducing real wages below levels allowed by technological growth, changes in the unemployment rate, and institutional and other economic factors. However, part of this wage moderation may be linked to a composition effect because policies were targeted to low-paid individuals. Whether ALMPs are cost-effective from a budgetary perspective remains to be determined, but they are certainly not substitutes for comprehensive institutional reforms.

Making the Transition

Making the Transition
Author: Irena Kogan
Publisher: Stanford University Press
Total Pages: 674
Release: 2011-10-11
Genre: Social Science
ISBN: 0804778957

After the breakdown of socialism in Central and Eastern Europe, the role of education systems in preparing students for the "real world" changed. Though young people were freed from coercive state institutions, the shift to capitalism made the transition from school to work much more precarious and increased inequality in early career outcomes. This volume provides the first large-scale analysis of the impact social transformation has had on young people in their transition from school to work in Central and Eastern European countries. Written by local experts, the book examines the process for those entering the workforce under socialism, during the turbulent transformation years, in the early 2000s, and today. It considers both the risks and opportunities that have emerged, and reveals how they are distributed across social groups. Only by studying these changes can we better understand the long-term impact of socialism and post-socialist transformation on the problems young people in this part of the world are facing today.

Labour Market Institutions and Productivity

Labour Market Institutions and Productivity
Author: Beata Woźniak-Jęchorek
Publisher: Routledge
Total Pages: 286
Release: 2020-10-25
Genre: Business & Economics
ISBN: 1000202550

This book explains the role of formal labour market institutions in keeping the labour utilisation in Central and Eastern Europe above the level characteristic for Western European states. It provides an innovative and enriching take on labour utilisation at large and how various formal labour market institutions can affect the ongoing trend in labour utilisation in a way that is not covered by the extant literature. The impact of labour market institutions on labour market outcomes is analysed throughout 12 chapters, both from a cross-country perspective and in detailed case-studies, by 21 labour market experts from various CEE countries. Most chapters are based on empirical methods yet are presented in an easy-to-follow way in order to make the book also accessible for a non-scientific audience. The volume explores three key questions: How can labour utilisation be increased by labour market institutions? Which CEE countries managed to create a labour market institutional framework beneficial for labour utilisation? How should the labour market institutions in CEE countries be reformed in order to increase labour utilisation? The book argues that the legacy of transition reforms and a centrally planned past is still relevant in explaining common patterns among CEE countries and concludes that increasing the stock of skills accumulated by the employed and improving utilisation of these skills seems to be the first-best solution to increase labour utilisation. The book will be of interest to post-graduate researchers and academics in the fields of labour economics, regional economics, and macroeconomics as well as scholars interested in adopting an institutional analysis approach. Additionally, due to the broader policy implications of the topic, the book will appeal to policymakers and experts interested in labour economics.

Labor Market Dynamics in Libya

Labor Market Dynamics in Libya
Author: The World Bank
Publisher: World Bank Publications
Total Pages: 103
Release: 2015-06-24
Genre: Business & Economics
ISBN: 1464805679

Since the 2011 uprising that toppled the former regime, Libya has been mired in deep political strife. An economy in which agriculture once flourished was converted wholesale to an oil-based rentier state of the most extreme kind. Following the immediate post-revolution oil-consumption boom, in 2014 Libya's economy is in recession. Security is the greatest challenge to stability (World Bank 2014). Today, limited opportunities exist for reintegrating youth and ex-combatants into the labor market. This policy note provides an initial assessment of Libya's labor market and discusses policy options for promoting employability as part of a broader jobs strategy. It is intended as a contribution to evidence on Libya's labor market for the benefit of policy makers, civil society and the broader international community. The report finds that the overall unemployment rate in Libya increased from 13.5 percent in 2010 prior to the uprising to 19 percent as of 2012, having changed little since then. Youth unemployment stands at approximately 48 percent and female unemployment 25 percent. The vast majority (85 percent) of Libya's active labor force is employed in the public sector, a high rate even by regional standards. The rate for women is even higher (93 percent). Employment in industry (largely the oil sector) and agriculture accounts for only 10 percent of the labor force. While nearly all public sector workers are covered by some form of social insurance, only 46 percent of private sector workers are enrolled - a striking difference. The report further discusses the implications of Libyan jobseeker profiles. Thirty percent of firms have reported difficulty in recruiting qualified Libyan nationals. Only 15-30 percent of Libya’s labor force is relatively skilled and likely could be hired readily if given access to basic job training and job search assistance. For the remainder of the unemployed work force, targeted interventions would need to be designed for advanced skills development, vocational training, reconversion, and apprenticeship and entrepreneurship programs. The report discusses options for shifting Libya from a rentier state to a diversified, productive economy through economic and technical partnerships to help accelerate creating economic opportunities and jobs.

Studies of Labor Market Intermediation

Studies of Labor Market Intermediation
Author: David H. Autor
Publisher: University of Chicago Press
Total Pages: 456
Release: 2009-12-01
Genre: Business & Economics
ISBN: 9780226032887

From the traditional craft hiring hall to the Web site Monster.com, a multitude of institutions exist to facilitate the matching of workers with firms. The diversity of such Labor Market Intermediaries (LMIs) encompasses criminal records providers, public employment offices, labor unions, temporary help agencies, and centralized medical residency matches. Studies of Labor Market Intermediation analyzes how these third-party actors intercede where workers and firms meet, thereby aiding, impeding, and, in some cases, exploiting the matching process. By building a conceptual foundation for analyzing the roles that these understudied economic actors serve in the labor market, this volume develops both a qualitative and quantitative sense of their significance to market operation and worker welfare. Cross-national in scope, Studies of Labor Market Intermediation is distinctive in coalescing research on a set of market institutions that are typically treated as isolated entities, thus setting a research agenda for analyzing the changing shape of employment in an era of rapid globalization and technological change.

Handbook of Research on Unemployment and Labor Market Sustainability in the Era of Globalization

Handbook of Research on Unemployment and Labor Market Sustainability in the Era of Globalization
Author: Füsun Yenilmez
Publisher: IGI Global
Total Pages: 498
Release: 2016-12-28
Genre: Business & Economics
ISBN: 1522520090

The effective utilization of available resources is a pivotal factor for production levels in modern business environments. However, when resources are limited or in excess, this effects organizational success, as well as the labor market. The Handbook of Research on Unemployment and Labor Market Sustainability in the Era of Globalization is a comprehensive reference source for the latest scholarly research on the socio-economic dynamics of unemployment and the development of new policies to assist in regulating the global labor market. Highlighting innovative approaches and relevant perspectives, such as outsourcing, trade openness, and employment protection, this publication is ideally designed for policy makers, professionals, practitioners, graduate students, and academics interested in emerging trends for labor market development.

IMF Staff papers, Volume 45 No. 2

IMF Staff papers, Volume 45 No. 2
Author: International Monetary Fund. Research Dept.
Publisher: International Monetary Fund
Total Pages: 204
Release: 1998-01-01
Genre: Business & Economics
ISBN: 1451974167

This paper analyzes contagion and volatility with imperfect credit markets. The paper interprets contagion effects as an increase in the volatility of shocks impinging on the economy. The implications of this approach are analyzed in a model in which domestic banks borrow at a premium on world capital markets, and domestic producers borrow at a premium from domestic banks. Financial spreads depend on a markup that compensates lenders, in particular, for the expected cost of contract enforcement. Higher volatility increases financial spreads and the producers’ cost of capital.

The Shadow Economy

The Shadow Economy
Author: Friedrich Schneider
Publisher: Cambridge University Press
Total Pages: 225
Release: 2013-02-14
Genre: Business & Economics
ISBN: 1107034841

This book presents new data to give an overview of shadow economies from OECD countries and propose solutions to prevent illicit work.

Informal Employment in Emerging and Transition Economies

Informal Employment in Emerging and Transition Economies
Author: Solomon W. Polachek
Publisher: Emerald Group Publishing
Total Pages: 307
Release: 2012-04-17
Genre: Business & Economics
ISBN: 178052787X

Informality and informal employment are wide-spread and growing phenomena in all regions of the world, particularly in low and middle income economies. This volume sheds light on the incidence and persistence of informality and the role of institutions and government regulations, and offers insights into issues such as how labor and tax regulations