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Local employment growth in the coastal area of Tunisia: spatial filtering approach

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  • Mohamed Amara
  • Mohamed Ayadi

Abstract

Since the mid-1980s, Tunisia has conducted a structural adjustment program characterized by more privatization and economic opening. This transition has created unequal growth in the economic performance and the employment opportunities between coastal and interior regions (inland areas). The 14 January revolution has started as social demands against unequal employment opportunities and corruption. The identification of various factors explaining the employment growth in Tunisia's coastal area is necessary to understand regional disparities. In this study, we attempt to assess the impacts of institutional factors and industrial structures on manufacturing employment growth. We seek to answer the following key question: Why does employment grow in one region and not in other? Using panel data on five manufacturing sectors associated to 138 Tunisian coastal small localities (delegations) along six years (2002–2007), we will give some empirical evidence on regional employment growth. We use a dynamic spatial panel data model in order to consider the spatial and temporal effects in the analysis of the local employment growth. Our results show that spillovers have been found to be significantly effective only within a range of 15 km for high-tech industries and 50 km for low-tech. Our econometric result stand that agglomeration and diversity have a positive effect on the local employment manufacturing growth. However, competition has a negative effect. In addition, our results show that industrial zones do not increase employment.

Suggested Citation

  • Mohamed Amara & Mohamed Ayadi, 2014. "Local employment growth in the coastal area of Tunisia: spatial filtering approach," Middle East Development Journal, Taylor & Francis Journals, vol. 6(2), pages 255-284, July.
    • Handle: RePEc:taf:rmdjxx:v:6:y:2014:i:2:p:255-284
    DOI: 10.1080/17938120.2014.961832
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    Citations

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    Cited by:

    1. Ning Xu & Chang’an Li, 2023. "Migration and Rural Sustainability: Relative Poverty Alleviation by Geographical Mobility in China," Sustainability, MDPI, vol. 15(7), pages 1-27, April.
    2. Mohamed Amara & Khaled Thabet, 2019. "Firm and regional factors of productivity: a multilevel analysis of Tunisian manufacturing," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 63(1), pages 25-51, August.
    3. Stefania Oppido & Stefania Ragozino & Gabriella Esposito De Vita, 2023. "Peripheral, Marginal, or Non-Core Areas? Setting the Context to Deal with Territorial Inequalities through a Systematic Literature Review," Sustainability, MDPI, vol. 15(13), pages 1-36, July.
    4. Mohamed Amara, 2016. "The linkages between formal and informal employment growth in Tunisia: a spatial simultaneous equations approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 56(1), pages 203-227, January.
    5. Hatem Jemmali & Mohamed Amara, 2018. "On Measuring and Decomposing Inequality of Opportunity among Children: Evidence from Tunisia," Applied Research in Quality of Life, Springer;International Society for Quality-of-Life Studies, vol. 13(1), pages 137-155, March.
    6. Mohamed Amara, 2023. "Agglomeration and firm performance in times of economic turmoil: Evidence from Tunisian firm‐level data," Growth and Change, Wiley Blackwell, vol. 54(2), pages 446-481, June.
    7. Mohamed Amara & Hatem Jemmali, 2018. "Household and Contextual Indicators of Poverty in Tunisia: A Multilevel Analysis," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 137(1), pages 113-138, May.
    8. Mohamed Amara, 2019. "Firm Performance and Agglomeration Effects: Evidence from Tunisian Firm-level Data," Working Papers 1297, Economic Research Forum, revised 2019.
    9. Mohamed Amara & Wajih Khallouli & Faycel Zidi, 2018. "Gender Discrimination in the Tunisian Labor Market: The Youth Crisis," Working Papers 1263, Economic Research Forum, revised 07 Feb 2018.

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