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Labor Market Dynamics and Youth Unemployment in the Middle East and North Africa: Evidence from Egypt, Jordan and Tunisia

Author

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  • Ragui Assaad

    (University of Minnesota)

  • Caroline Krafft

    (Department of Economics, St. Catherine University)

Abstract

Although it is well-established in the literature that unemployment is a labor market insertion problem in the Middle East and North Africa (MENA), the dynamics driving youth unemployment remain poorly understood. Using panel and retrospective data from the Labor Market Panel Surveys in Egypt, Jordan and Tunisia, we are able to substantially improve our understanding of youth unemployment in MENA by studying flows into and out of employment and unemployment. We also decompose trends in the unemployment rates in Egypt, Jordan, and Tunisia over the past decade into the contributions of individuals entering unemployment from outside the labor force and from previous employment, and changes in the duration of unemployment these individuals experience. Models for the incidence and duration of unemployment illustrate the relationship between individuals’ characteristics and their unemployment dynamics

Suggested Citation

  • Ragui Assaad & Caroline Krafft, 2016. "Labor Market Dynamics and Youth Unemployment in the Middle East and North Africa: Evidence from Egypt, Jordan and Tunisia," Working Papers 993, Economic Research Forum, revised Apr 2016.
    • Handle: RePEc:erg:wpaper:993
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    References listed on IDEAS

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    1. Meyer, Bruce D, 1990. "Unemployment Insurance and Unemployment Spells," Econometrica, Econometric Society, vol. 58(4), pages 757-782, July.
    2. Jenkins, Stephen P, 1995. "Easy Estimation Methods for Discrete-Time Duration Models," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 57(1), pages 129-138, February.
    3. Ragui Assaad & Caroline Krafft & Shaimaa Yassin, 2018. "Comparing retrospective and panel data collection methods to assess labor market dynamics," IZA Journal of Migration and Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 8(1), pages 1-34, December.
    4. Ragui Assaad, 2014. "Making sense of Arab labor markets: the enduring legacy of dualism," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 3(1), pages 1-25, December.
    5. Samer Kherfi, 2015. "Determinants of Unemployment Duration," Working Papers 909, Economic Research Forum, revised May 2015.
    6. Ragui Assaad & Caroline Krafft, 2013. "The Egypt labor market panel survey: introducing the 2012 round," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 2(1), pages 1-30, December.
    7. Shaimaa Yassin, 2014. "Job Accession, Separation and Mobility in the Egyptian Labor Market Over the Past Decade," Working Papers 881, Economic Research Forum, revised Nov 2014.
    8. Rana Hendy, 2015. "Women's Participation in the Egyptian Labor Market: 1998-2012," Working Papers 907, Economic Research Forum, revised May 2015.
    9. Assaad, Ragui & Krafft, Caroline (ed.), 2015. "The Egyptian Labor Market in an Era of Revolution," OUP Catalogue, Oxford University Press, number 9780198737254.
    10. Assaad, Ragui (ed.), 2014. "The Jordanian Labor Market in the New Millennium," OUP Catalogue, Oxford University Press, number 9780198702054.
    11. Assaad, Ragui & Arntz, Melanie, 2005. "Constrained Geographical Mobility and Gendered Labor Market Outcomes Under Structural Adjustment: Evidence from Egypt," World Development, Elsevier, vol. 33(3), pages 431-454, March.
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    Cited by:

    1. Caroline Krafft & Ragui Assaad, 2020. "Employment’s Role in Enabling and Constraining Marriage in the Middle East and North Africa," Demography, Springer;Population Association of America (PAA), vol. 57(6), pages 2297-2325, December.
    2. Fallah, Belal & Krafft, Caroline & Wahba, Jackline, 2019. "The impact of refugees on employment and wages in Jordan," Journal of Development Economics, Elsevier, vol. 139(C), pages 203-216.
    3. Alaref,Jumana Jamal Subhi & Nikaein Towfighian,Samira & Paez Salamanca,Gustavo Nicolas & Audah,Mohammed Thabet M, 2020. "The Impact of Employer Discrimination on Female Labor Market Outcomes : Experimental Evidence from Tunisia," Policy Research Working Paper Series 9361, The World Bank.
    4. Harkat, Tahar & Driouchi, Ahmed & Achehboune, Amale, 2016. "Time Series Analysis & Choices for General and Vocational Education in Arab Economies," MPRA Paper 74770, University Library of Munich, Germany.
    5. Irene Selwaness & Caroline Krafft, 2021. "The Dynamics of Family Formation and Women’s Work: What Facilitates and Hinders Female Employment in the Middle East and North Africa?," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 40(3), pages 533-587, June.
    6. Ragui Assaad & Caroline Krafft & Irene Selwaness, 2017. "The Impact of Early Marriage on Women’s Employment in the Middle East and North Africa," Working Papers 1086, Economic Research Forum, revised 04 2017.
    7. Barsoum, Ghada, 2020. "When marketization encounters centralized governance: Private Higher education in Egypt," International Journal of Educational Development, Elsevier, vol. 76(C).
    8. Ragui Assaad & Samir Ghazouani & Caroline Krafft & Dominique J. Rolando, 2016. "Introducing the Tunisia Labor Market Panel Survey 2014," IZA Journal of Labor & Development, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 5(1), pages 1-21, December.
    9. Caroline Krafft & Reham Rizk, 2018. "The Promise and Peril of Youth Entrepreneurship in MENA," Working Papers 1257, Economic Research Forum, revised 19 Nov 2018.
    10. Caroline Krafft & Ragui Assaad, 2018. "Do More Productive Firms Pay Workers More? Evidence from Egypt," Working Papers 1222, Economic Research Forum, revised 18 Sep 2018.
    11. El-Haddad Amirah, 2020. "Picking Winners: Identifying Leading Sectors for Egypt and Tunisia Using the Product Space Methodology," Review of Middle East Economics and Finance, De Gruyter, vol. 16(1), pages 1-80, April.
    12. Almas Heshmati & Ilham Haouas & Kazi Sohag & Muhammad Shahbaz, 2017. "Hiring and Separation Rates Before and after the Arab Spring in the Tunisian Labour Market," South African Journal of Economics, Economic Society of South Africa, vol. 85(2), pages 259-278, June.
    13. Driouchi, Ahmed & Harkat, Tahar, 2016. "Macroeconomic and School Variables to Reveal Country Choices of General and Vocational Education: A Cross-Country Analysis with focus on Arab Economies," MPRA Paper 73455, University Library of Munich, Germany.
    14. Ragui Assaad & Samir Ghazouani & Caroline Krafft, 2017. "The Composition of Labor Supply and Unemployment in Tunisia," Working Papers 1150, Economic Research Forum, revised 11 Jan 2017.
    15. Iman Al‐Ayouty & Hoda Hassaballa, 2020. "Regional unemployment in Egypt: Spatial panel data analysis," African Development Review, African Development Bank, vol. 32(4), pages 565-577, December.
    16. Ragui Assaad & Caroline Krafft & Dominique J. Rolando, 2017. "The Role of Housing Markets in the Timing of Marriage in Egypt, Jordan, and Tunisia," Working Papers 1081, Economic Research Forum, revised 04 Oct 2017.
    17. Deng,Jingyuan & Elmallakh,Nelly Youssef Louis William & Flabbi,Luca & Gatti,Roberta V., 2022. "Labor Market Transitions in Egypt Post-Arab Spring," Policy Research Working Paper Series 10126, The World Bank.

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