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Transitions in a West African labour market: The role of family networks

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  • Nordman, Christophe J.
  • Pasquier-Doumer, Laure

Abstract

This paper sheds light on the role of family networks in the dynamics of a West African labour market, i.e. in the transitions from unemployment to employment, from wage employment to self-employment, and from self-employment to wage employment. It investigates the effects of three dimensions of family networks on these transitions: their structure, the strength of their ties, and the resources embedded in them. For this purpose, we use a first-hand survey conducted in Ouagadougou on a representative sample of 2000 households. Using event history data and very detailed information on family networks, we estimate proportional hazard models for discrete-time data. We find that family networks have a significant effect on the dynamics of workers in the labour market and that this effect differs depending on the type of transition and the dimension of the family network considered. Network size appears not to matter much in labour market dynamics. However, strong ties play a stabilizing role by limiting large transitions. Their negative effect on transitions is reinforced by a high level of resources embedded in the network.

Suggested Citation

  • Nordman, Christophe J. & Pasquier-Doumer, Laure, 2015. "Transitions in a West African labour market: The role of family networks," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 54(C), pages 74-85.
  • Handle: RePEc:eee:soceco:v:54:y:2015:i:c:p:74-85
    DOI: 10.1016/j.socec.2014.11.008
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    References listed on IDEAS

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    1. Jean-Philippe Berrou & François Combarnous, 2012. "The Personal Networks of Entrepreneurs in an Informal African Urban Economy: Does the ‘Strength of Ties’ Matter?," Review of Social Economy, Taylor & Francis Journals, vol. 70(1), pages 1-30, July.
    2. Bocquier, Philippe & Nordman, Christophe J. & Vescovo, Aude, 2010. "Employment Vulnerability and Earnings in Urban West Africa," World Development, Elsevier, vol. 38(9), pages 1297-1314, September.
    3. Michael Grimm & Jens Krüger & Jann Lay, 2011. "Barriers To Entry And Returns To Capital In Informal Activities: Evidence From Sub‐Saharan Africa," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 57, pages 27-53, May.
    4. repec:dau:papers:123456789/4294 is not listed on IDEAS
    5. Marcel Fafchamps, 2006. "Development and social capital," Journal of Development Studies, Taylor & Francis Journals, vol. 42(7), pages 1180-1198.
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    Cited by:

    1. Björn Nilsson, 2017. "The School-to-work transition in developing countries," Working Papers DT/2017/07, DIAL (Développement, Institutions et Mondialisation).
    2. Christophe Jalil Nordman, 2016. "Do family and kinship networks support entrepreneurs?," IZA World of Labor, Institute for the Study of Labor (IZA), pages 262-262, May.
    3. Izquierdo Sanchez, Sofia, 2014. "Managing the supply of short-life products. A duration analysis approach using the UK film industry," MPRA Paper 79024, University Library of Munich, Germany.
    4. Deguilhem, Thibaud & Berrou, Jean-Philippe & Combarnous, François, 2017. "Using your ties to get a worse job? The differential effects of social networks on quality of employment: Evidence from Colombia," MPRA Paper 78628, University Library of Munich, Germany.

    More about this item

    Keywords

    Family network; Labour market dynamics; Event history data; Survival analysis; Burkina Faso;

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation

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