Participation and sector selection in Nicaragua

✍ Scribed by Dario Pozzoli; Marco Ranzani

• Book ID: 102347833
• Publisher: John Wiley and Sons
• Year: 2009
• Tongue: English
• Weight: 173 KB
• Volume: 22
• Category: Article
• ISSN: 0954-1748
• DOI: 10.1002/jid.1599

✦ Synopsis

Abstract

This paper investigates the structure of the labor market in Nicaragua and is aimed at understanding the determinants of the choice between a number of segments, namely inactivity, unemployment, agriculture, the formal and the informal sectors. In addition, a model with a separate participation equation is estimated: it allows us to understand that age mainly is a supply‐side factor, while education is an important element determining employer's choices Information networks, captured by the presence of a household member working in the formal sector, and geographical barriers to mobility also play a leading role. Copyright © 2009 John Wiley & Sons, Ltd.