published in: Comparative Economic Studies, 2006, 48 (2), 229-251
We analyze the pace and patterns of job reallocation in Ukraine using 1992-2000 panel data
on nearly the surviving universe of manufacturing firms inherited from the Soviet Union.
Employment growth displays substantial increase in heterogeneity during this transition
period, with a corresponding rise in excess job reallocation. Unlike data for Soviet Russia in
the 1980s, Ukrainian job reallocation in the 1990s was clearly productivity-enhancing, both
within and across industries. The paper also estimates the effects of firm and market
characteristics on the magnitude of reallocation and on the extent to which it has contributed
to aggregate productivity growth.
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