Publications

November 15, 2013

Employment Choice And Mobility In Multisector Labor Markets

This paper examines employment choice and occupational
mobility using data from Ghana in a model that
incorporates capital market failure, credit constrained individuals and draw
self-employment capital from family asset.

Download Label
March 13, 2018 - 4:00 am
application/pdf
775.70 kB
v.1.7 (stable)
Read →

Author:Olumide Taiwo

Publication Date: November, 2012

Keywords: Employment Choice; Mobility; Multisectoral Labor Markets; Self Employment

JEL Classifications: J01, J21, J24, N37, O12, O17


This paper examines employment choice and occupational mobility using data from Ghana. In amodel that incorporates capital market failure, credit constrained individuals draw selfemploymentcapital from family asset. The empirical findings validate the predictions of thetheoretical model. The data shows very low rates of mobility across sectors and that workers infamily enterprise are the most mobile while self-employed workers are the least mobile. I findno robust evidence that wage earnings ease liquidity constraints. The findings suggest that bothliquidity and skill transferability constraints are important for mobility.




Related

 

Nigeria Economic Update (Issue 37)

OPEC Monthly oil report reveals that Nigeria recorded the highest month-on-month increase in crude oil production among the OPEC member countries in August 2017. Specifically, at an increasing rate of 8 percent, domestic oil production rose to pre-2016 level of 1.86 million barrels per day in August 2017. With ongoing repairs in the sector, oil production could get to 2.2 million barrels per day in the near term, albeit the prior voluntary agreement to cap production at 1.8 million barrels per day. Going forward, there is need to address poor planning and policy inconsistencies in the sector, in order to ensure the influx of investors who have channeled their investments to other African countries due to laxity in policies in the sector.

Nigeria Economic Update (Issue 12)

The naira/dollar exchange rate remained largely stable at the parallel market at ?320/$ during the period7, albeit slight fluctuations on February 29, 2016 (?325/$) and March 2, 2016 (?328/$). The decline in the hoarding of foreign currency as well as the substantial reduction in the speculative demand for dollars were the two key factors responsible for the ease of fluctuations in the forex market8. With the slight increase in the price of crude oil, Nigerias foreign reserve slightly grew by $56 million, from 27.81 billion to $27.84 billion9. With the continued increase in the price of crude oil, a modest build-up of foreign reserve to guard against unfavourable commodity price movements is expected in the near term.

Nigeria Economic Update (Issue 6)

Latest figures of FDI flows to Nigeria show a decline of 27 per cent from $4.7 billion in 2014 to $3.4 billion in 20152, representing its lowest value since 2005. This decline is largely attributed to the oil price slump, which has generally increased uncertainty in the economy, with adverse effects on investors confidence. The fall in FDI flows was witnessed in most resource based economies in Africa, as FDI flows to the continent fell by 31 percent in 2015. The forex controls in place in Nigeria has also exacerbated the uncertainty in economy, and created obstacles for both domestic and foreign investors. Thus a review of the forex restrictions could send positive signals to investors.