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End Notes

1 Countries with market economies use Labor Force Surveys (LFS) as a main instrument of data collection on employment and unemployment. However, not all transition economies have implemented this statistical methodology. Countries that have already introduced an LFS include: Bulgaria, Estonia, the Czech Republic, Hungary, Latvia, Lithuania, the Republic of Macedonia, Poland, Romania, the Russian Federation, the Slovak Republic, Slovenia, and Ukraine. Belarus, Croatia, and Moldova are preparing to launch such a survey (Chernyshev, 1997, pp. 32-33).


2 Some subsidized activities are also considered active labor market policies, particularly if they are intended to create new jobs.


3 This is a sign of Hungarian generosity, which is sometimes criticized. The length of the subsidy is longer than in Sweden and Germany (Frey, 1997, p. 106).


4 PHARE is an abbreviation for the European Community/Polish and Hungarian Aid to Reconstruction of the Economy (EC/PHARE) http://WWW.ERC.MsState.Edu/~vkire/faq/economy/econ.overview.html


5 The Republic of Macedonia used a different statistical methodology in defining sectors of the economy than the OECD. In OECD countries, the economy is divided into three sectors: primary, including agriculture; secondary, including industry, construction, and public activities; and tertiary, including transportation, services, trade and administration. In Macedonia, the economy is divided into two sectors: economic activities such as industry, mining, agriculture, construction, traffic, trade, tourism, and financial and technical services; and non-economic activities, including education, science, culture and information, health and social welfare, and social-political organizations (Ruzin, 1994, p. 177).

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