IDEAS home Printed from https://ideas.repec.org/a/ibn/ijefaa/v13y2021i1p61.html
   My bibliography  Save this article

Causes and Consequences of Idle Youth in Guatemala

Author

Listed:
  • Luis Rene Cáceres

Abstract

This paper analyzes the causes and consequences of the percentage of the youth population that is not working, in school or in traning, Neets, in Guatemala. The study rests on the estimation of regression equations that explain the percentage of Neet population in terms of variables associated with the labor market; other set of equations were estimated to assess the role that Neets have in the Guatemalan economy. The data employed was taken from the World Bank’s World Development Indicators. The results indicate that the percentage of female and male Neets decrease as the credit to the private sector increase; said percentage increases with the increase of the deficit in the trade balance and with the increase in youth unemployment. Another result is that the Neet population exert negative impacts on the employment to population ratio and on the rate of economic growth. These results are augmented by the analisis of the relationships existing between the percentages of Neets and economic growth, the number of homicides and the number of persons that are incarcerated using a cross section of 2010 data from 13 Latin American countries. The results presented in the paper should motivate policy makers in Guatemala and other countries to design and implement policies geared towards preventing that youth become Neets.

Suggested Citation

  • Luis Rene Cáceres, 2021. "Causes and Consequences of Idle Youth in Guatemala," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 13(1), pages 1-61, January.
    • Handle: RePEc:ibn:ijefaa:v:13:y:2021:i:1:p:61
    as

    Download full text from publisher

    File URL: http://www.ccsenet.org/journal/index.php/ijef/article/download/0/0/44439/46863
    Download Restriction: no
    File URL: http://www.ccsenet.org/journal/index.php/ijef/article/view/0/44439
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Eva O. Arceo-Gómez & Raymundo M. Campos-Vázquez, 2011. "¿Quiénes son los NiNis en México?," Working Papers DTE 524, CIDE, División de Economía.
    2. Susan W Parker & Tom Vogl, 2023. "Do Conditional Cash Transfers Improve Economic Outcomes in the Next Generation? Evidence from Mexico," The Economic Journal, Royal Economic Society, vol. 133(655), pages 2775-2806.
    3. Margaret S. McMillan & Dani Rodrik, 2011. "Globalization, Structural Change and Productivity Growth," NBER Working Papers 17143, National Bureau of Economic Research, Inc.
    4. Stefano Scarpetta & Anne Sonnet & Thomas Manfredi, 2010. "Rising Youth Unemployment During The Crisis: How to Prevent Negative Long-term Consequences on a Generation?," OECD Social, Employment and Migration Working Papers 106, OECD Publishing.
    5. Mr. Jonathan David Ostry & Mr. Jorge A Alvarez & Mr. Raphael A Espinoza & Mr. Chris Papageorgiou, 2018. "Economic Gains From Gender Inclusion: New Mechanisms, New Evidence," IMF Staff Discussion Notes 2018/006, International Monetary Fund.
    6. P. Sai-wing Ho, 2005. "Distortions in the trade policy for development debate: A re-examination of Friedrich List," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 29(5), pages 729-745, September.
    7. Susan Parker & Emmanuel Skoufias, 2004. "The added worker effect over the business cycle: evidence from urban Mexico," Applied Economics Letters, Taylor & Francis Journals, vol. 11(10), pages 625-630.
    8. -, 2018. "La ineficiencia de la desigualdad," Documentos de posición del período de sesiones de la Comisión 43442, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    9. Jorge A. Paz, 2009. "El Efecto del Trabajador Adicional. Evidencia para Argentina (2003-2007)," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 46(134), pages 225-241.
    10. Jonathan David Ostry & Jorge Alvarez & Raphael A Espinoza & Chris Papageorgiou, 2018. "Economic Gains From Gender Inclusion; New Mechanisms, New Evidence," IMF Staff Discussion Notes 18/06, International Monetary Fund.
    11. Mai Dao & Lucy Qian Liu, 2017. "Finance and Employment in Developing Countries: The Working Capital Channel," IMF Working Papers 2017/189, International Monetary Fund.
    12. De Hoyos Navarro,Rafael E. & Gutierrez Fierros,Carlos & Vargas M.,J. Vicente, 2016. "Idle youth in Mexico : trapped between the war on drugs and economic crisis," Policy Research Working Paper Series 7558, The World Bank.
    13. Cerrutti, Marcela, 2000. "Economic Reform, Structural Adjustment and Female Labor Force Participation in Buenos Aires, Argentina," World Development, Elsevier, vol. 28(5), pages 879-891, May.
    14. -, 2018. "La ineficiencia de la desigualdad," Libros y Documentos Institucionales, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), number 43442 edited by Cepal.
    15. Jordan Schwartz & Luis Andres & Georgeta Dragoiu, 2009. "Crisis in Latin America," Journal of Infrastructure Development, India Development Foundation, vol. 1(2), pages 111-131, December.
    16. Schwartz, Jordan Z. & Andres, Luis A. & Dragoiu, Georgeta, 2009. "Crisis in Latin America : infrastructure investment, employment and the expectations of stimulus," Policy Research Working Paper Series 5009, The World Bank.
    17. Emmanuel Skoufias & Susan Parker, 2006. "Job loss and family adjustments in work and schooling during the Mexican peso crisis," Journal of Population Economics, Springer;European Society for Population Economics, vol. 19(1), pages 163-181, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Berniell, Inés & Gasparini, Leonardo & Marchionni, Mariana & Viollaz, Mariana, 2023. "Lucky women in unlucky cohorts," Journal of Development Economics, Elsevier, vol. 161(C).
    2. Luis René Cáceres, 2021. "Youth Unemployment and Underdevelopment in Honduras," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 13(2), pages 1-61, February.
    3. Luis Rene Caceres, 2022. "Idle Youth and Macroeconomics in Latin America," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 14(1), pages 1-98, January.
    4. Julio Guzman, 2014. "Social Protection and Private Coping Strategies During Recessions: Evidence from Chile," Working Papers wp_041, Adolfo Ibáñez University, School of Government.
    5. Jerg Gutmann & Matthias Neuenkirch & Florian Neumeier, 2021. "Sanctioned to Death? The Impact of Economic Sanctions on Life Expectancy and its Gender Gap," Journal of Development Studies, Taylor & Francis Journals, vol. 57(1), pages 139-162, January.
    6. Alnaa, Samuel Erasmus & Matey, Juabin, 2023. "Women's Access to Post-Secondary Education and Structural Inequalities," MPRA Paper 118327, University Library of Munich, Germany, revised 15 Jul 2023.
    7. Nikolova, Elena & Polansky, Jakub, 2022. "Children and Female Employment in Mongolia," GLO Discussion Paper Series 1015, Global Labor Organization (GLO).
    8. Elena Nikolova & Jakub Polansky, 2022. "Children and Female Employment in Mongolia," Discussion Papers 61, Central European Labour Studies Institute (CELSI).
    9. Rasmané Ouedraogo & Idrissa Ouedraogo, 2019. "Gender Equality and Electoral Violence in Africa: Unlocking the Peacemaking Potential of Women," IMF Working Papers 2019/174, International Monetary Fund.
    10. Eva O. Arceo-Gómez & Danae Hernández-Cortés & Alejandro López-Feldman, 2020. "Droughts and rural households’ wellbeing: evidence from Mexico," Climatic Change, Springer, vol. 162(3), pages 1197-1212, October.
    11. -, 2022. "Innovation for development: The key to a transformative recovery in Latin America and the Caribbean," Libros y Documentos Institucionales, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), number 47795 edited by Eclac.
    12. Iregui-Bohórquez, Ana María & Melo-Becerra, Ligia Alba & Ramírez-Giraldo, María Teresa & Tribín-Uribe, Ana María & Zárate-Solano, Héctor M., 2024. "Unraveling the factors behind women’s empowerment in the labor market in Colombia," World Development, Elsevier, vol. 183(C).
    13. Kostov, Lyuboslav, 2020. "Inequalities and political populism: The case of Bulgaria," SEER Journal for Labour and Social Affairs in Eastern Europe, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 23(2), pages 233-244.
    14. Goes, Carlos & Lopez-Acevedo, Gladys & Robertson, Raymond, 2023. "Gender-Segmented Labor Markets and Trade Shocks," Policy Research Working Paper Series 10518, The World Bank.
    15. Shwetlena Sabarwal & Nistha Sinha & Mayra Buvinic, 2011. "How Do Women Weather Economic Shocks? What We Know," World Bank Publications - Reports 10113, The World Bank Group.
    16. Asongu, Simplice A. & Bouanza, Jean R.F.K. & Agyemang-Mintah, Peter, 2024. "Globalization in lifelong gender inclusive education for structural transformation in Africa," Economic Systems, Elsevier, vol. 48(4).
    17. Sever, Can, 2025. "Legal gender equality as a catalyst for convergence," Structural Change and Economic Dynamics, Elsevier, vol. 73(C), pages 376-391.
    18. Matías Ciaschi, 2020. "Job loss and household labor supply adjustments in developing countries: Evidence from Argentina," CEDLAS, Working Papers 0271, CEDLAS, Universidad Nacional de La Plata.
    19. Nikolova, Elena & Polansky, Jakub, 2022. "Children and female employment in Mongolia," Economic Systems, Elsevier, vol. 46(3).
    20. repec:ocp:rpaeco:pb_12-23 is not listed on IDEAS
    21. Maridueña-Larrea, Ángel & Martín-Román, Ángel L., 2023. "The asymmetric cyclical behaviour of female labour force participation in Latin America," MPRA Paper 117408, University Library of Munich, Germany.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:ijefaa:v:13:y:2021:i:1:p:61. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.