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We present a model of wage contract violation that implies a possibility of multiple equilibria in the level of arrears. Positive feedback arises because each employer's arrears affect the costs of late payment faced by other employers operating in the same labor market, resulting in a network...
Persistent link: https://www.econbiz.de/10011339102
We construct and analyze a unique database with 1992-99 information on privatization transactions and labor productivity for the entire surviving population of initially state-owned industrial corporations in Romania. The data permit us to describe the post-privatization ownership structure and...
Persistent link: https://www.econbiz.de/10011402871
During the transition from plan to market, managers and politicians succeeded in maintaining control of large parts of … ability to influence law enforcement. Our econometric results, for about 950 firms in five transition economies, provide … support for this argument. -- asset stripping ; law enforcement ; corruption ; transition …
Persistent link: https://www.econbiz.de/10003299971
adjustments have become more sensitive to adjustment costs during the transition, but worker and manager ownership are associated …
Persistent link: https://www.econbiz.de/10011412846
The aim of this paper is to test a key aspect of Baumol's theory that the allocation of entrepreneurial efforts toward its productive (e.g., start-up activity) or unproductive (e.g., rent-seeking) use depends on institutional conditions. In contrast to previous research, we study a context where...
Persistent link: https://www.econbiz.de/10012550208
Comparing aggregate statistics and surveying selected empirical studies, this paper shows that the characteristics and results of labour markets in eastern and western Germany have become quite similar in some respects but still differ markedly in others even 25 years after unification. Whereas...
Persistent link: https://www.econbiz.de/10010498571
We explore the micro-foundations of fragility by discussing how to measure the exposure to fragility at the individual level. We focus on two notions that are not covered by existing aggregate, state-centric indicators of fragility. First, different individuals may experience fragility very...
Persistent link: https://www.econbiz.de/10011770421
are less likely to remain employed in consecutive years than natives and are more likely to stay on welfare and to receive … a similar degree of "structural" state dependence as natives. The high welfare participation rates among refugee … immigrants seem to be due to the existence of a "welfare trap", while participation among natives and non-refugee immigrants is …
Persistent link: https://www.econbiz.de/10011403758
We explore the impact of privatization and the entry of new firms on enterprise performance in Belarus, a transition … era to permit free competition and effective governance by new owners. -- enterprise restructuring ; privatization … ; transition ; Belarus …
Persistent link: https://www.econbiz.de/10003328064
the transition, up until the shock is fully absorbed. Viability is a function of the speed of job destruction and the … transition. Within the realm of feasible scenarios, unemployment differentials are simultaneously determined by the speed of … destruction is fast and benefits are high. -- transition ; heterogeneous labor ; job creation ; unemployment benefit ; wage …
Persistent link: https://www.econbiz.de/10003339774