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Informality and Mobility: Evidence from Russian Panel Data

Fabian Slonimczyk () and Vladimir Gimpelson

No 7703, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: Informality is a defining characteristic of labor markets in developing and transition countries. This paper analyzes patterns of mobility across different forms of formal and informal employment in Russia. Using the RLMS household panel we estimate a dynamic multinomial logit model with individual heterogeneity and correct for the initial conditions problem. Simulations show that structural state dependence is weak and that transition rates from informal to formal employment are not lower than from other origin states. These results lend support to the integrated view of the labor market.

Keywords: informality; labor mobility; initial conditions problem; state dependence (search for similar items in EconPapers)
JEL-codes: J6 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2013-10
New Economics Papers: this item is included in nep-cis, nep-cwa, nep-iue and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (11)

Published - revised version published in: Economics of Transition, 2015, 23(2), 299–341

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