Job Creation, Job Destruction, and Growth of Newly Established, Privatized, and State-Owned Enterprises in Transition Economies: Survey Evidence from Bulgaria, Hungary, and Romania

Abstract

This paper reports new and unique firm-level survey evidence to investigate the microeconomic nature of the growth process and structural change in three transition countries, Romania, Bulgaria, and Hungary. In particular we investigate gross job creation and destruction in newly established private (de novo) firms and "traditional" ones, both state-owned and privatized firms, and find that the de novo private firms are the most dynamic in terms of job 1 We acknowledge the financial support from the Phare-Ace Project P96-6203-R. The financial support of the KUL research fund and the FWO is also gratefully acknowledged.

Job Creation, Job Destruction and Labour Demand in Slovenia

“…Furthermore, our results indicate an increase in the job creation rate in 1994, but a decrease and a stabilisation of the job creation rate afterwards. Comparing the results here with Bilsen and Konings (1998) the Slovene results are more similar to those for Hungarian enterprises, with a lower gross job reallocation rate than in Bulgaria and Romania. Furthermore, the transition in Slovenia started before and hence rather high job destruction rates presumably already occurred in the second half of 1980s.…”

“…Since we asked retrospective questions on employment we were able to compute gross job flows for several years. This indicates larger stability in job flows compared to findings for some other CEECs (Bilsen and Konings, 1998). The net employment growth rate was positive in 1994 indicating that temporarily job creation rate offsets job destruction rate.…”

Do exports generate higher productivity? Evidence from Slovenia

“…11 Making the assumption that firms within the same sector face the same input prices is less problematic than extending this assumption to the entire manufacturing sector. In addition I include 3-digit NACE industry dummies to control for different subsectoral (unobserved) shocks within a given industry, both in the production process and in the output market.…”

“…Therefore, I check whether technological change was different for exporters by interacting the time trend with export status, in addition to the full interacted polynomial. 11 The NACE classification system is the standard industrial classification system in the EU, comparable to the SIC or NAICS classification system in the US. measure ω and I calculate it in the following way…”

Gross Job Flows in Russian Industry Before and After Reforms: Has Destruction Become More Creative?

“…Among these articles are Konings, Lehmann and Schaffer (1996), Bilsen and Konings (1998), Faggio and Konings (1999), Haltiwanger and Vodopivec (2000), Acquisti and Lehmann (2000), and others. This research has already documented a number of important patterns in transition economies: the rise in job and worker flows associated with reforms, the rise in the proportion of worker flows associated with job flows, the rise in job destruction leading that in job creation, the dominant role of small firms (generally new private start-ups) in job creation and of large firms (generally privatized and state-owned enterprises) in job destruction, and the relatively large role played by intersectoral shifts in excess job reallocation.…”