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Pathways from school to work in the developing world

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  • Manacorda, Marco
  • Rosati, Furio Camillo
  • Ranzani, Marco
  • Dachille, Giuseppe
Abstract
This paper uses novel micro data from the ILO-STWT surveys to provide evidence on the duration, endpoint, and determinants of the transition from school to work in a sample of 23 low- and middle-income countries around the world. The paper analyzes both transition to the first job and to the first stable job. It also illustrates the effects of several correlates, including age of school leaving, gender, work while attending school, and others on the probability of transition and on its duration. The negative effects of low levels of human capital and high levels of population growth on job finding rates are offset by widespread poverty and lack of unemployment insurance, which lead overall to faster transitions in low-income compared to middle-income economies. By lowering reservation wages and speeding transitions, however, these forces lead to worse matches, as measured by the probability of attaining stable employment in the long run, highlighting the trade-off that policy makers face in developing countries

Suggested Citation

  • Manacorda, Marco & Rosati, Furio Camillo & Ranzani, Marco & Dachille, Giuseppe, 2017. "Pathways from school to work in the developing world," LSE Research Online Documents on Economics 69212, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:69212
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    File URL: http://eprints.lse.ac.uk/69212/
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    2. Francesco Pastore & Claudio Quintano & Antonella Rocca, 2020. "Stuck at a crossroads? The duration of the Italian school-to-work transition," International Journal of Manpower, Emerald Group Publishing Limited, vol. 42(3), pages 442-469, September.
    3. Raul Ramos, 2019. "Migration aspirations among youth in the Middle East and North Africa region," Journal of Geographical Systems, Springer, vol. 21(4), pages 487-507, December.
    4. Ham Andrés & Maldonado Darío & Guzmán-Gutiérrez Carlos Santiago, 2021. "Recent trends in the youth labor market in Colombia: Diagnosis and policy challenges," IZA Journal of Labor Policy, Sciendo & Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 11(1), pages 1-62, January.
    5. Vélez-Coto, María & Rute-Pérez, Sandra & Pérez-García, Miguel & Caracuel, Alfonso, 2021. "Unemployment and general cognitive ability: A review and meta-analysis," Journal of Economic Psychology, Elsevier, vol. 87(C).
    6. Mussida, Chiara & Sciulli, Dario & Signorelli, Marcello, 2019. "Secondary school dropout and work outcomes in ten developing countries," Journal of Policy Modeling, Elsevier, vol. 41(4), pages 547-567.
    7. Ragui Assaad & Caroline Krafft & Colette Salemi, 2023. "Socioeconomic Status and the Changing Nature of School-to-Work Transitions in Egypt, Jordan, and Tunisia," ILR Review, Cornell University, ILR School, vol. 76(4), pages 697-723, August.
    8. Doruk, Ömer Tuğsal & Pastore, Francesco, 2020. "School to Work Transition and Macroeconomic Conditions in the Turkish Economy," IZA Discussion Papers 13921, Institute of Labor Economics (IZA).
    9. K. Ssebulime & E. Bbaale & M.I. Okumu, 2023. "Job creation fragility and transition to work in Uganda: Evidence from parametric and non-parametric duration models," Journal of Economic Policy and Management Issues, JEPMI, vol. 2(2), pages 1-18.
    10. Chen, Shuang, 2018. "Education and transition to work: Evidence from Vietnam, Cambodia and Nepal," International Journal of Educational Development, Elsevier, vol. 61(C), pages 92-105.
    11. Andrés Ham & Darío Maldonado & Carlos Santiago Guzmán-Gutiérrez, 2019. "Tendencias recientes en la situación laboral de los jóvenes en Colombia: diagnóstico, desafíos y retos de política pública," Documentos de trabajo 17569, Escuela de Gobierno - Universidad de los Andes.
    12. Sènakpon Fidèle Ange Dedehouanou & Luca Tiberti & Gbodja Hilaire Houeninvo & Djohodo Inès Monwanou, 2022. "Working while studying: Employment premium or penalty for youth?," Journal of International Development, John Wiley & Sons, Ltd., vol. 34(2), pages 415-441, March.

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    More about this item

    Keywords

    Transition duration Hazard model Youth unemployment Developing countries School-to-work transition;

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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