A paper written by Derek C. Jones, the Irma M. and Robert D. Morris Professor of Economics, with Kosali Ilayperuma Simon '94, an assistant professor at Cornell University and Watson fellowship recipient while at Hamilton, has been published in the June 2005 issue of the Journal of Comparative Economics. The paper is titled "Wage Determination under Plan and Early Transition: Bulgarian Evidence using Matched Employer-Employee Data."
In this paper, Jones and Simon find non-competitive forces dominate wage determination under the planning regime in Bulgaria. During the early transition, the process became more market-driven, although a significant role remains for other factors. Depending on the particular specification, returns to education at least doubled during the transition. The article is part of a special issue of the journal titled "Symposium: Returns to Schooling in Transition: The Chinese, European and Russian Experiences."
