Geographical Exclusion in Rural Areas of El Salvador: Its Impact on Labor Market Outcomes
The main objective of this study is to examine one aspect of social exclusion, the geographic isolation of individuals living in El Salvador`s rural areas and its impact on three labor market outcomes: labor force participation decision, sector of employment, and labor income. In this study, it is hypothesized that living in geographic isolation has a negative impact on rural workers` labor outcomes, that geographic isolation, through a combination of security hazards, increasing transaction and working costs, depresses individual`s labor force participation rates, increases the likelihood of working in low-productive jobs, and results in lower labor income levels. The main results of this study indicate that the degree of geographic isolation does not discourage men from working; on the contrary, men living farther away from urban and maquila jobs are more likely to work. The degree of geographic isolation determines individuals` sector allocation and their labor income as well. Women living farther away from urban areas or with less access to paved roads are highly concentrated in own-production agricultural activities, where women`s skills are rewarded less than comparable men`s skills. Own production in agriculture is a sector where women`s human capital accumulation does not influence their income labor level, though it does reward men`s skills. Through concentration into this sector, women living in geographic isolation obtain worse labor outcomes than men. Living in geographic isolation decreases women`s labor income. When working in own-account non-agricultural production, geographic isolation also has a negative impact on men`s labor income.
|Date of creation:||Jan 2002|
|Date of revision:|
|Contact details of provider:|| Postal: 1300 New York Avenue, NW, Washington, DC 20577|
Web page: http://www.iadb.org/res
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Cutler, David & Vigdor, Jacob & Glaeser, Edward, 1999.
"The Rise and Decline of the American Ghetto,"
2770033, Harvard University Department of Economics.
- George J. Borjas, 1994.
"Ethnicity, Neighborhoods, and Human Capital Externalities,"
NBER Working Papers
4912, National Bureau of Economic Research, Inc.
- Borjas, George J, 1995. "Ethnicity, Neighborhoods, and Human-Capital Externalities," American Economic Review, American Economic Association, vol. 85(3), pages 365-90, June.
- David M. Cutler & Edward L. Glaeser, 1997. "Are Ghettos Good or Bad?," The Quarterly Journal of Economics, Oxford University Press, vol. 112(3), pages 827-872.
When requesting a correction, please mention this item's handle: RePEc:idb:wpaper:3135. 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: (Monica Bazan)
If references are entirely missing, you can add them using this form.