In this project, the research team study whether worker turnover contributes to the misallocation of talent in low-income countries. To this end, they will experimentally evaluate the impacts of offering financial incentives for worker retention in the context of a female-dominated occupation in the nascent garment manufacturing industry in Ethiopia. Our main hypothesis is that…
RCT
The Roles of Information and Search Frictions in Determining Working Conditions in Bangladesh’s Apparel Sector
The emergence of low-skill manufacturing sectors in developing countries can increase labor market opportunities and provide other economics benefits for women (Heath and Mobarak, 2015; Tanaka, 2017). But in light of the poor conditions that characterize many low-skill manufacturing sectors, some researchers have questioned whether manufacturing jobs are actually better for workers than their alternatives….
Overcoming Constraints to Female Labour Force Entry
We propose a randomised controlled trial to test the impact of two low-cost interventions to overcome psychological and information constraints to female labor force participation (FLFP). Our research questions are, does (i) motivating female students and (ii) providing information about the job market, promote female labor force entry, as measured by their likelihood of applying…
Relaxing Seasonal Constraints to Improve Labour Productivity
Despite increased investment and international competition in agriculture, small-scale farming continues to be the most common economic activity in many developing countries. In Zambia, 60% of the population lives in rural areas, where 78% of the population were employed in agriculture in 2012 (Zambia Labor Force Survey, 2012). Rainfall patterns in Zambia allow for only…
Impacts of Microfranchising on Young Women’s Occupational Choices
Youth underemployment is a major challenge facing developing nations, particularly in Africa (Filmer and Fox 2014). Young people are more likely to be unemployed than older adults (Kluve et al. 2016). In low-income countries, unemployment figures also typically underestimate the proportion of youths who cannot find productive jobs (Fares et al. 2006). After leaving school,…
Training, Financing, and Matching between Workers and Firms
Small and Medium Enterprises (SMEs) play an important role in income and employment generation in local economies, and SMEs account for a large share of businesses in low and income countries (LMICs). SMEs in LMICs are concentrated in activities that are described as unorganized or unregistered, or non-institutional. These SMEs have limited access to financial…
Girls Empowered by Microfranchising
Integrating young adults into the formal labour market is a major challenge facing developing nations, particularly in Africa (World Bank 2007). High levels of unemployment, especially among youth, have led many policymakers to advocate microfinance (cf Yunus 1999) and other forms of credit market expansion aimed at promoting entrepreneurship. However, empirical evidence on the overall…
Reducing Extreme Poverty through Skill Training for Industry Job Placement
Bangladesh has been experiencing remarkable growth in the ready-made garments (RMG) industries for the last three decades. It has become an integral and major part of Bangladesh’s economy, which contributes 13 percent of GDP and 75 percent of export earnings. For instance, in 1983 there were some forty thousand people employed in the RMG sector;…
Empowering Women through Public Policy
In 2005, India’s Parliament passed the Mahatma Gandhi National Rural Employment Guarantee Act, a landmark in social protection legislation for the country. The Act moved employment into the domain of legally enforceable rights for a population no less than 120 million, making it the largest work/welfare programme in the world. Since 2009, the eponymous anti-poverty…
The Formal-Informal Labour Nexus and Growth
Although employment in low-income countries (LICs) is strikingly concentrated in the informal sector, the contribution of this sub-economy to the larger economy is not well understood. The traditional view holds that labour markets are segmented; the informal sector provides subsistence income, or a pool of surplus labour for the formal sector, and will likely disappear…