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Labor Market Issues in the Caribbean: Scope to Mobilize Employment Growth

Author

Listed:
  • Ms. Magda E. Kandil
  • Mrs. Genevieve M Lindow
  • Mr. Mario Mansilla
  • Mr. Joel Chiedu Okwuokei
  • Jochen M. Schmittmann
  • Qiaoe Chen
  • Xin Li
  • Marika Santoro
  • Solomon Stavis

Abstract

The paper examines the determinants of employment growth, drawing on data available across a sample of Caribbean countries. To that end, the paper analyzes estimates of the employment-output elasticity and the response of employment growth to major sources of labor market determinants, in the long and short run. The main determinants of employment include government investment and private sector credit, while the major determinants of external performance are real effective exchange rate, the price of major exporting commodities, the number of tourists, and growth in major trading partners. The paper concludes with a menu of policy recommendations and structural reforms towards sustaining high employment growth and higher living standards in the Caribbean.

Suggested Citation

  • Ms. Magda E. Kandil & Mrs. Genevieve M Lindow & Mr. Mario Mansilla & Mr. Joel Chiedu Okwuokei & Jochen M. Schmittmann & Qiaoe Chen & Xin Li & Marika Santoro & Solomon Stavis, 2014. "Labor Market Issues in the Caribbean: Scope to Mobilize Employment Growth," IMF Working Papers 2014/115, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2014/115
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    References listed on IDEAS

    as
    1. Downes, Andrew S., 2006. "Caribbean labour market challenges and policies," Macroeconomía del Desarrollo 5410, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
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    3. Kandil, Magda & Mirzaie, Aghdas, 2002. "Exchange rate fluctuations and disaggregated economic activity in the US: theory and evidence," Journal of International Money and Finance, Elsevier, vol. 21(1), pages 1-31, February.
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    5. Davide Furceri & Ernesto Crivelli & Mr. Joël Toujas-Bernate, 2012. "Can Policies Affect Employment Intensity of Growth? A Cross-Country Analysis," IMF Working Papers 2012/218, International Monetary Fund.
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    Cited by:

    1. Mr. A. E. Wayne Mitchell & Ronald James & Ann Marie Wickham, 2019. "Government Wage Bill Management and Civil Service Reform in the Eastern Caribbean Currency Union," IMF Working Papers 2019/110, International Monetary Fund.

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