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Title:Wages, layoffs, and privatization: Evidence from Ukraine PDF Logo
Authors:Brown, J. David
Earle, John S.
Vakhitov, Vladimir
Issue Date:2006
Series/Report no.:Upjohn Institute Working Paper 06-126
Abstract:This paper estimates the effects of privatization on worker separations and wages using retrospective data from a national probability sample of Ukrainian households. Detailed worker characteristics are used to control for compositional differences and to assess types of observable 'winners' and 'losers' from privatization. Preprivatization worker-firm matches are used to control for unobservables in worker and firm selection. The results imply that privatization reduces wages by 5 percent and cuts the layoff probability in half. Outside investor ownership reduces separations but leaves wages unaffected. Winners from privatization tend to be higher-skilled employees of larger firms, but there is no discernable relationship with gender, education, or experience.
Subjects:privatization
layoffs
wages
Ukraine
JEL:D21
G34
J23
J31
L33
P23
P31
Document Type:Working Paper
Appears in Collections:Upjohn Institute Working Papers, W. E. Upjohn Institute for Employment Research

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