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Pathways from school to work in the developing world

Author

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  • Manacorda, Marco
  • Rosati, Furio Camillo
  • Ranzani, Marco
  • Dachille, Giuseppe

Abstract

This paper uses novel micro data from the ILO-STWT surveys to provide evidence on the duration, endpoint, and determinants of the transition from school to work in a sample of 23 low- and middle-income countries around the world. The paper analyzes both transition to the first job and to the first stable job. It also illustrates the effects of several correlates, including age of school leaving, gender, work while attending school, and others on the probability of transition and on its duration. The negative effects of low levels of human capital and high levels of population growth on job finding rates are offset by widespread poverty and lack of unemployment insurance, which lead overall to faster transitions in low-income compared to middle-income economies. By lowering reservation wages and speeding transitions, however, these forces lead to worse matches, as measured by the probability of attaining stable employment in the long run, highlighting the trade-off that policy makers face in developing countries

Suggested Citation

  • Manacorda, Marco & Rosati, Furio Camillo & Ranzani, Marco & Dachille, Giuseppe, 2017. "Pathways from school to work in the developing world," LSE Research Online Documents on Economics 69212, London School of Economics and Political Science, LSE Library.
  • Handle: RePEc:ehl:lserod:69212
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    File URL: http://eprints.lse.ac.uk/69212/
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    References listed on IDEAS

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    Cited by:

    1. Sènakpon Fidèle A. Dedehouanou & Luca Tiberti & Hilaire G. Houeninvo & Djohodo Inès Monwanou, 2019. "Working while studying: Employment premium or penalty for youth in Benin?," Working Papers PMMA 2019-03, PEP-PMMA.
    2. repec:eee:injoed:v:61:y:2018:i:c:p:92-105 is not listed on IDEAS

    More about this item

    Keywords

    Transition duration Hazard model Youth unemployment Developing countries School-to-work transition;

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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