Krajnyák, Kornélia; Chadha, Bankim; Coricelli, Fabrizio - International Monetary Fund (IMF) - 1993
This paper develops a model of the process of reallocation of labor from the state sector to the private sector. When … growth is exogenously determined, we show that in the initial stages of transition unemployment will rise over time. After a … critical stage in the transition process, restructuring is accompanied by a decline in unemployment. When growth is …