Social Network and Social Protection: Evidence from Cameroon
Household in developing countries use a variety of informal and formal mechanisms to cope with risk, including mutual support and public social security program. The present study addresses the issue of the relationship between social network and social protection both formal and informal. Using dataset of Cameroon’s survey on employment and informal sector (EESI , 2005) and after controlling for the endogeneity of social network, our results suggest two main facts. First, while the relationship between social network and formal social protection is not significant, there is a strong and positive effect of social network on informal social protection. Second, formal social protection and informal social protection are substitute in Cameroon.
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