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Finance and Demand for Skill : Evidence from Uganda

Author

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  • Beck, T.H.L.

    (Tilburg University, Center For Economic Research)

  • Homanen, M.
  • Uras, Burak

    (Tilburg University, Center For Economic Research)

Abstract

We explore the empirical interaction between firm growth, financing constraints and job creation. Using a novel small business survey from Uganda, we find that the extent to which small businesses expand skilled employment as their sales and profits increase depends significantly on access to external funding. The results are robust to the inclusion of various firm level controls, region and sector fixed effects. We address reverse causality concerns by providing empirical evidence using planned hiring regression specifications.

Suggested Citation

  • Beck, T.H.L. & Homanen, M. & Uras, Burak, 2016. "Finance and Demand for Skill : Evidence from Uganda," Discussion Paper 2016-014, Tilburg University, Center for Economic Research.
  • Handle: RePEc:tiu:tiucen:37f2de70-7701-4f98-a85a-eb3da172bae5
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    1. repec:eee:wdevel:v:97:y:2017:i:c:p:330-348 is not listed on IDEAS

    More about this item

    Keywords

    financial access; trained and experienced employment; uganda;

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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