Nonstandard Forms and Measures of Employment and Unemployment in Transition: A Comparative Study of Estonia, Romania, and Russia

Authors

J. David Brown, Heriot-Watt University, Central European University Labor Project, and IZAFollow
John S. Earle, W.E. Upjohn Institute for Employment Research and Central European University Labor ProjectFollow
Vladimir Gimpelson, Centre for Labour Market Studies, Higher School of Economics, and IZAFollow
Rostislav Kapeliushnikov, Centre for Labour Market Studies, Higher School of EconomicsFollow
Hartmut Lehmann, University of Bologna, Heriot-Watt University, Labor Group Economic Research and Outreach Center at the Kyiv School of Economics, and IZAFollow
Álmos Telegdy, Central European University Labor Project, Institute of Economics of the Hungarian Academy of SciencesFollow
Irina Vantu, Central European University Labor ProjectFollow
Ruxandra Visan, Central European University Labor ProjectFollow
Alexandru Voicu, City University of New York, Staten Island College, and IZAFollow

Series

Upjohn Institute Working Paper No. 06-127

**Published Version**

In Comparative Economic Studies 48(3): 435-457

DOI

10.17848/wp06-127

Issue Date

Revised February 2006; Revised June 2006

Abstract

This paper looks behind the standard, publicly available labor force statistics relied upon in most studies of transition economy labor markets. We analyze microdata on detailed labor force survey responses in Russia, Romania, and Estonia to measure nonstandard, boundary forms and alternative definitions of employment and unemployment. Our calculations show that measured rates are quite sensitive to definition, particularly in the treatment of household production (subsistence agriculture), unpaid family helpers, and discouraged workers, while the categories of part-time work and other forms of marginal attachment are still relatively unimportant. We find that tweaking the official definitions in apparently minor ways can produce alternative employment rates that are sharply higher in Russia but much lower in Romania and slightly lower in Estonia, and alternative unemployment rates that are sharply higher in Romania and moderately higher in Estonia and Russia.

Sponsorship

Supported by a grant from the U.S. Agency for International Development's Support for Economic Growth and Institutional Reform (SEGIR) EP Contract No. PCE-1-00-00-00014-00. reference Russia, task order no. 803, "Improvement of Economic Policy Through Think Tank Partnership Project."

Subject Areas

LABOR MARKET ISSUES; Employment relationships; Nonstandard work arrangements; INTERNATIONAL ISSUES; International labor comparisons; Transition economies