VALUE OF HUMAN-CAPITAL IN TRANSITION TO MARKET - EVIDENCE FROM SLOVENIA

The paper summarizes existing hard evidence concerning the changing va lue of human capital in Slovenia's transition to a market system. It i nvestigates changes in patterns of job mobility (via estimating multin omial logit and hazard models) and changes in the structure of wages ( via earnings functions) associated with education, experience, gender, and ethnicity. Data are drawn from unusually rich administrative data sets that include personal characteristics, work history and earnings for virtually all labor force participants. All evidence points to ra pidly increasing marginal returns to human capital in transition econo mies. (C) 1997 Elsevier Science B.V.