Campus Units

Economics

Document Type

Article

Publication Version

Submitted Manuscript

Publication Date

11-1998

Journal or Book Title

Economics of Transition

Volume

6

Issue

2

First Page or Article ID Number

481

Last Page

503

DOI

10.1111/j.1468-0351.1998.tb00060.x

Abstract

This study monitors the effects of economic transition on wages and employment in a former Soviet Republic. Estonia's case is of particular interest because of its early adoption of relatively free labour market policies. Relative wages for the highest educated groups rose for all age groups. There were also rapid increases in returns to job experience, particularly at young ages. Increasing wage dispersion across human capital groups was accompanied by narrowing wage dispersion within human capital groups. Relative wages rose in sectors which gained relative employment, while they fell in shrinking sectors. In addition, there were large flows of labour between shrinking and growing sectors, suggesting that labour market equilibrating mechanisms developed very rapidly in Estonia.

JEL Classification

J31, P5

Comments

This is the pre-peer reviewed version of the following article: Noorkoiv, Rivo, Peter F. Orazem, Allan Puur, and Milan Vodopivec. 1998. “Employment and Wage Dynamics in the Estonia Transition, 1989-1995." The Economics of Transition 6 (2): 481-503, which has been published in final form at DOI: 10.1111/j.1468-0351.1998.tb00060.x. This article may be used for non-commercial purposes in accordance with Wiley Terms and Conditions for Self-Archiving.

Copyright Owner

John Wiley & Sons, Inc.

Language

en

File Format

application/pdf

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