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Transitions in a West African Labour Market: The Role of Social Networks

Author

Listed:
  • Christophe Jalil Nordman

    (LEDa - Laboratoire d'Economie de Dauphine - IRD - Institut de Recherche pour le Développement - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique)

  • Laure Pasquier-Doumer

    (LEDa - Laboratoire d'Economie de Dauphine - IRD - Institut de Recherche pour le Développement - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique)

Abstract
This paper sheds light on the role of social networks in the dynamics of a West African labour market, i.e. in the transitions from unemployment to employment, from wage employment to self-employment, and from self-employment to wage employment. It investigates the effects of three dimensions of the social network on these transitions: its structure, the strength of ties and the resources embedded in the network. For this purpose, we use a first-hand survey conducted in Ouagadougou on a representative sample of 2000 households. Using event history data and very detailed information on social networks, we estimate proportional hazard models for discrete-time data. We find that social networks have a significant effect on the dynamics of workers in the labour market and that this effect differs depending on the type of transition and the considered dimension of the social network. The network size appears to not matter much in the labour market dynamics. Strong ties however play a stabilizing role by limiting large transitions. Their negative effect on transitions is reinforced when they are combined with high level of resources embedded in the network.

Suggested Citation

  • Christophe Jalil Nordman & Laure Pasquier-Doumer, 2017. "Transitions in a West African Labour Market: The Role of Social Networks," Working Papers hal-01620160, HAL.
    • Handle: RePEc:hal:wpaper:hal-01620160
    Note: View the original document on HAL open archive server: https://hal.science/hal-01620160
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    References listed on IDEAS

    as
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    Cited by:

    1. KUEPIE Mathias & TENIKUE Michel & WALTHER Olivier, 2014. "Small businesses performance in West African border regions: Do social networks pay off?," LISER Working Paper Series 2014-06, Luxembourg Institute of Socio-Economic Research (LISER).
    2. World Bank & Observatoire National de la Pauvreté et de l’Exclusion Sociale, 2014. "Investing in People to Fight Poverty in Haiti : Reflections for Evidence-based Policy Making [Haïti - Investir dans l’humain pour combattre la pauvreté : Éléments de réflexions pour la prise de déc," World Bank Publications - Reports 21519, The World Bank Group.

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    More about this item

    Keywords

    Kinship; Labour Market Dynamics; Event History Data; Survival Analysis; Burkina Faso; Social Network;
    All these keywords.

    JEL classification:

    • D13 - Microeconomics - - Household Behavior - - - Household Production and Intrahouse Allocation
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation

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