Services Policy Reform and Manufacturing Employment: Evidence from Transition Economies

Clément Malgouyres and Matteo Fiorini
Authors registered in the RePEc Author Service: Bernard Hoekman

No 11694, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: Policy reforms targeting the services sectors influence the process of structural transformation and economic development. This paper used sector-level panel data for 24 transition economies for the 1990-2012 period to analyze the impacts of services policy reforms on employment in downstream manufacturing sectors. We find that negative effects on manufacturing employment are mitigated or disappear for countries with better economic governance and higher levels of human capital. The decline in manufacturing employment is observed only in the first decade of transition. The estimated negative effect of policy reforms is of a contemporaneous nature; it does not persist along the lag structure.

Keywords: Economic reform; Service-sector policies; Employment; Transition economies; Structural transformation (search for similar items in EconPapers)
JEL-codes: F16 F66 J23 P21 (search for similar items in EconPapers)
Date: 2016-12
New Economics Papers: this item is included in nep-lma and nep-tid
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Related works:
Journal Article: Services policy reform and manufacturing employment: Evidence from transition economies (2018)
Working Paper: Services Policy Reform and Manufacturing Employment: Evidence from Transition Economies (2017)
Working Paper: Services Policy Reform and Manufacturing Employment: Evidence from Transition Economies (2016)
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