Czechoslovakia and the Communist Union Model*

Windmuller, John P.

doi:10.1111/j.1467-8543.1971.tb00810.x

Cited by 5 publications

(5 citation statements)

References 0 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…While in principle the trade unions and government jointly determined the grid and the level of wages within the grid, in practice the union and government officials by and large implemented the Communist party policies as set out in the central plan. 3 See e.g., Windmuller (1970) and Svejnar (1974).…”

Section: Kh Qvwlwxwlrqdo %Dfnjurxqgmentioning

confidence: 99%

Returns to Human Capital Under The Communist Wage Grid and During the Transition to a Market Economy

Münich

Švejnar

Terrell

2005

Review of Economics and Statistics

197

138

View full text Add to dashboard Cite

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in EconStor may be saved and copied for your personal and scholarly purposes.You are not to copy documents for public or commercial purposes, to exhibit the documents publicly, to make them publicly available on the internet, or to distribute or otherwise use the documents in public. licence. www.econstor.eu IZA DP No. 122 If the documents have been made available under an Open Content Licence (especially Creative Commons Licences), you may exercise further usage rights as specified in the indicated Returns to Human Capital under the Communist Wage Grid and During the Transition to a Market EconomyDaniel Munich Jan Svejnar Katherine Terrell Under communism, workers had their wages set according to a centrally-determined wage grid. In this paper we use new micro data on men to estimate returns to human capital under the communist wage grid and during the transition to a market economy. We use data from the Czech Republic because it is a leading transition economy in which the communist grid remained intact until the very end of the communist regime. We demonstrate that for decades the communist wage grid maintained extremely low rate of return on education, but that the return increased dramatically and equally in all ownership categories of firms during the transition. Our estimates also indicate that men's wage-experience profile was concave in both regimes and on average it did not change from the communist to the transition period. However, the de novo private firms display a more concave profile than SOEs and public administration. Contrary to earlier studies, we show that men's inter-industry wage structure changed substantially between 1989 and 1996. D I S C U S S I O N P A P E R S E R I E S 1 1RQWHFKQLFDO 6XPPDU\During a significant part of the twentieth century, over one-third of the world's population lived under the communist system. A large proportion of those who were in the labor force had their wages set according to a centrally-determined wage grid. While the effects of the grid have never been formally analyzed, there has been a general perception that earnings structures in centrally planned economies were very compressed and that one should observe decompression as well as major changes in the wage structure with privatization of state owned enterprises (SOEs) and the emergence of GH QRYR private firms during the transition to a market system. In this paper we use new micro data to (a) analyze returns to h...

show abstract

Section: Kh Qvwlwxwlrqdo %Dfnjurxqgmentioning

confidence: 99%

Returns to Human Capital Under The Communist Wage Grid and During the Transition to a Market Economy

Münich

Švejnar

Terrell

2005

Review of Economics and Statistics

197

138

View full text Add to dashboard Cite

show abstract

“…The system underlying the grid evolved over time. For example, the earlier grids were sector-specific (e.g., the 6 See, e.g., Windmuller (1970), Svejnar (1974a,b), Adam (1984), andFlanagan (1998). In addition to personal evaluation bonuses, the managers could influence total compensation and hence compete for workers by offering various social benefits, such as subsidized housing.…”

Section: The Wage Gridsmentioning

confidence: 99%

Returns to Human Capital Under the Communist Wage Grid and During the Transition to a Market Economy

2000

View full text Add to dashboard Cite

“…Trade unions were political organizations whose primary task was to ensure that party policies were implemented at the level of enterprises (Windmuller, 1971). Unions did not engage in collective bargaining, although formally they did handle grievances and in the area of job security they at times sided with workers against the center (Granick, 1987).…”

Section: Input Markets: Labor Capital Energymentioning

confidence: 99%

Microeconomic Issues in the Transition to a Market Economy

Švejnar

1991

Journal of Economic Perspectives

View full text Add to dashboard Cite

The socialist system introduced microeconomic distortions that probably transcend those observed in the third world. The recent developments in Poland, Yugoslavia, and the Soviet Union also support the hypothesis that macro stabilization will be difficult to achieve in the transforming socialist economies in the absence of adequate micro adjustments. In this paper, I address what I consider to be the most important micro issues related to the transition from socialist to market economies. First I summarize the initial microeconomic conditions, covering labor, capital, and energy markets; the product markets, industrial organization, and trade; and the market for land and housing. Then, I describe the main changes that have taken place in the early stages of the transition. Finally, I discuss the micro policy agenda that needs to be addressed if the transition is to be successful

show abstract

Czechoslovakia and the Communist Union Model*

Cited by 5 publications

References 0 publications

Returns to Human Capital Under The Communist Wage Grid and During the Transition to a Market Economy

Returns to Human Capital Under The Communist Wage Grid and During the Transition to a Market Economy

Returns to Human Capital Under the Communist Wage Grid and During the Transition to a Market Economy

Microeconomic Issues in the Transition to a Market Economy

Contact Info

Product

Resources

About