Personal Networks and Nonagricultural Employment: The Case of a Farming Village in the Philippines
This article, based on an intensive village survey in the Philippines, analyzes the effects of personal networks on rural villagersâ€™ access to nonagricultural occupations and the terms of employment given to them. A key finding is that personal networks are selectively used to reduce transaction costs and their impacts on employment conditions vary by size and by location of enterprises. We find that when villagers are employed in unskilled work at small enterprises, those who use family/relative networks receive wage premiums. However, if we limit our sample to small enterprises located near our study village, the family/relative network premiums become insignificant, presumably because of the overriding influence of the community-wide network within a narrow local community. Contrary to the case of small enterprises, unskilled workersâ€™ wages at large enterprises are not much affected by personal networks but are largely determined by years of schooling and work experience. The recent development of large-scale enterprises in the Philippines shows the diminishing importance of personal networks for unskilled labor markets, reflecting the tendency that acquired ability through education and training is becoming more important than nascent characteristics such as family/relative networks, corresponding to economic and social modernization.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 55 (2007)
Issue (Month): ()
|Contact details of provider:|| Web page: http://www.journals.uchicago.edu/EDCC/|
When requesting a correction, please mention this item's handle: RePEc:ucp:ecdecc:v:55:y:2007:p:669-707. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Journals Division)
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.