On the Speed of Transition in Central and Eastern Europe: Does On-the-Job Search Matter?

Author/Editor:

Zuzana Brixiova

Publication Date:

August 1, 1997

Electronic Access:

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Summary:

This paper examines how the on-the-job search of workers in the state sector who are seeking jobs in the private sector affects private sector employment, the unemployment level, and the unemployment duration in the transition economies of Central and Eastern Europe. The main finding is that on-the-job searching can account for the coexistence of a quickly growing private sector and a high unemployment level of long duration. The paper also addresses the issue of the optimal (output maximizing) rate of state sector closure and finds that the rate is slower when workers are simultaneously job hunting than when they are not.

Series:

Working Paper No. 1997/102

Subject:

Economic sectors Employment Labor Public sector Unemployment Unemployment rate

English

Publication Date:

August 1, 1997

ISBN/ISSN:

9781451948417/1018-5941

Stock No:

WPIEA1021997

Pages:

22

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