Labour mobility during transition: evidence from Georgia

Sabine Bernab? and Marco Stampini
Authors registered in the RePEc Author Service: Sabine Bernabe

LICOS Discussion Papers from LICOS - Centre for Institutions and Economic Performance, KU Leuven

Abstract: This paper deals with labour mobility in Georgia during economic transition. We use quarterly 1998-99 panel data to examine mobility across six labour market statuses (inactivity, unemployment, formal wage employment, informal wage employment, selfemployment and farming). Our findings are consistent with the hypothesis of labour market segmentation. Formal employment is preferred to informal employment. Unemployment is largely a queuing device for individuals with higher education waiting for formal jobs. Some self-employment is subsistence activities and consistent with a segmented labour market, while other is high risk and potentially high return activities. Age, gender and education are significant determinants of labour mobility. Finally, informal employment serves as a buffer in times of recession -with farming and informal wage employment absorbing labour shed by other statuses during the Russian financial crisis.

Keywords: labour mobility; informal labour; transition; Georgia (search for similar items in EconPapers)
JEL-codes: J21 P23 (search for similar items in EconPapers)
Date: 2008
New Economics Papers: this item is included in nep-cis, nep-lab and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (29)

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Persistent link: https://EconPapers.repec.org/RePEc:lic:licosd:20608

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