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Beyond dualism: Multisegmented labor markets in Ghana

Author

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  • James Heintz

    () (Political Economy Research Institute, University of Massachusetts)

  • Fabian Slonimczyk

    () (Department of Economics, University of Massachusetts)

Abstract

Using estimates of earnings functions in Ghana, this paper examines patterns of labor market segmentation with regard to formal and informal employment. Persistent earnings differentials are used as indicators of limited mobility across segments of the employed labor force. We find evidence of labor market segmentation between formal and informal employment and between different categories of informal employment which cannot be fully explained by human capital, physical asset, or credit market variables. We argue that dualist labor market models may not be appropriate for understanding employment dynamics in all circumstances and an approach that recognizes the multi-segmented character of labor markets may be preferable. JEL Categories: J21, J30, O17, O55.

Suggested Citation

  • James Heintz & Fabian Slonimczyk, 2007. "Beyond dualism: Multisegmented labor markets in Ghana," UMASS Amherst Economics Working Papers 2007-01, University of Massachusetts Amherst, Department of Economics.
  • Handle: RePEc:ums:papers:2007-01
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    Cited by:

    1. María del Pilar Casal & Bradford L. Barham, 2013. "Women’s Mobility in the Argentine Labour Market," Económica, Departamento de Economía, Facultad de Ciencias Económicas, Universidad Nacional de La Plata, vol. 59, pages 88-125, January-D.

    More about this item

    Keywords

    dualism; labor markets; employment; segmentation; Ghana.;

    JEL classification:

    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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