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Labor Market Institutions and Unemployment Dynamics in Transition Economies / Pietro Garibaldi, Zuzana Brixiova.

IMF eLibrary Available online

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Format:
Book
Government document
Author/Creator:
Garibaldi, Pietro.
Contributor:
Brixiová, Zuzana.
Series:
IMF Working Papers; Working Paper ; No. 1997/137
IMF Working Papers
Language:
English
Physical Description:
1 online resource (46 pages)
Place of Publication:
Washington, D.C. : International Monetary Fund, 1997.
Language Note:
English
Summary:
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.
Notes:
Bibliographic Level Mode of Issuance: Monograph
Description based on print version record.
ISBN:
9786613878137
9781462321643
146232164X
9781452723983
1452723982
9781283565684
1283565684
9781451901009
1451901003

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