Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/174046 
Year of Publication: 
2017
Series/Report no.: 
IZA Discussion Papers No. 11136
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
We analyze the effects of persecution and labor market discrimination during the communist regime in the former Czechoslovakia using a representative life history sample from the Survey of Health, Ageing and Retirement in Europe. We find strong effects of persecution and dispossession on subsequent earnings, with most severe implications of job loss due to persecution on earnings in subsequent jobs and on career degradation. Accumulated long-term effects in the form of initial retirement pensions paid during the communist regime are even greater. These pension penalties disappear by 2006 largely as a result of compensation schemes implemented by democratic governments after 1989. We use unique administrative data on political rehabilitation and prosecution to instrument for the endogenous variables. Finally, we survey transitional justice theory and document reparations programs in other countries.
Subjects: 
life histories
wage differentials
persecution
labor discrimination
economic history
treatment effect models
JEL: 
N34
J70
J31
C21
Document Type: 
Working Paper

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