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Madagascar - Assessing labor market conditions in Madagascar, 2001-2005 (World Bank- 2007)

Madagascar - Assessing labor market conditions in Madagascar, 2001-2005 (World Bank- 2007)

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Published by HayZara Madagascar
This study assesses the labor market conditions in Madagascar using household survey data from 2001 and 2005. Labor markets are important because poor people derive most of their income from labor – the one asset that they possess in abundance. Thus in a country like Madagascar where nearly seven out of ten individuals live below the poverty line, understanding employment and earnings conditions is essential to understanding poverty.
********************************
World Bank 2007
This study assesses the labor market conditions in Madagascar using household survey data from 2001 and 2005. Labor markets are important because poor people derive most of their income from labor – the one asset that they possess in abundance. Thus in a country like Madagascar where nearly seven out of ten individuals live below the poverty line, understanding employment and earnings conditions is essential to understanding poverty.
********************************
World Bank 2007

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Published by: HayZara Madagascar on Aug 04, 2011
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MADAGASCAR
 
 
A
SSESSING
L
ABOR
M
ARKET
C
ONDITIONS
I
N
M
ADAGASCAR
,
 
2001-2005
 
Africa Region Working Paper Series No. 105June 2007
 
Authors’ Affiliation and Sponsorship
David Stifel, World Bank (AFTH3)dstifel@worldbank.org David Stifel, Lafayette Collegestifled@lafayette.edu Faly Hery Rakotomanana, Institut National de la Statistique, INSTATrakotomanafaly@yahoo.fr Elena Celada, World Bank ecelada@worldbank.org 
The Africa Region Working Paper Series expedites dissemination of applied research and policy studies with potential for improving economic performance and social conditions in Sub-Saharan Africa. The Series publishes papers at preliminarystages to stimulate timely discussion within the Region and among client countries, donors, and the policy researchcommunity. The editorial board for the Series consists of representatives from professional families appointed by theRegion’s Sector Directors. For additional information, please contact Paula White, managing editor of the series, (81131),Email:pwhite2@worldbank.orgor visit the Web site:http://www.worldbank.org/afr/wps/index.htm.
The
 
findings,
 
interpretations,
 
and
 
conclusions
 
expressed
 
in
 
this
 
paper
 
are
 
entirely
 
those
 
of
 
the
 
author(s),
 
they
 
do
 
not
 
necessarily
 
represent
 
the
 
views
 
of
 
the
 
World
 
Bank
 
Group,
 
its
 
Executive
 
Directors,
 
or
 
the
 
countries
 
they
 
represent
 
and
 
should
 
not
 
be
 
attributed
 
to
 
them.
 
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Assessing Labor Market Conditionsin Madagascar, 2001-2005
David StifelFaly Hery RakotomananaElena Celada
*
 
June, 2007
*
David Stifel, World Bank (AFTH3) (dstifel@worldbank.org) and Lafayette College(stifeld@lafayette.edu), Faly Hery Rakotomanana, Institut National de la Statistique, INSTAT(rakotomananafaly@yahoo.fr), and Elena Celada, World Bank (ecelada@worldbank.org). This work is part of a broader labor market work program undertaken by the World Bank in Madagascar. The authorsare indebted to UNICEF and to BNPP for their financial contributions. The authors would like to thank Harold Alderman, Stefano Paternostro, Sajitha Bashir, Benu Bidani, Bob Blake, Diane Coury, Pierre-Emmanuel Couralet, Margo Hoftijzer and Pierella Paci for their comments. They are also indebted toINSTAT for supplying the EPM data. The findings, interpretations, and conclusions expressed are entirelythose of the authors, and they do not necessarily represent the views of the World Bank, its ExecutiveDirectors, or the countries they represent
 
 
ii
Table of ContentsEXECUTIVE SUMMARY...........................................................................................................v
1. Introduction........................................................................................................................12. Maroeconomic Context......................................................................................................23. Patterns of Employment.....................................................................................................33.1. Employment Rates.....................................................................................................3
Sector of Employment..............................................................................................4 Employment Status...................................................................................................8 Education and Employment...................................................................................12 Education by Sector...............................................................................................13
3.2. Open Unemployment................................................................................................144. Quality of Employment....................................................................................................174.1. Earnings, Low Earnings and Poverty.......................................................................17
Formality matters...................................................................................................19Poverty and Low Earnings.....................................................................................20“Bad” jobs are characterized by low productivity................................................21Primary Sector – A haven for low quality jobs......................................................22Trends – How has the quality of employment changed?........................................22
4.2. Worker Characteristics and Job Quality: Vulnerable groups?.................................23
 Education...............................................................................................................23Gender...................................................................................................................24Child Labor............................................................................................................25 Multiple and Temporary Jobs................................................................................28 Remoteness & insecurity........................................................................................29
4.3. Household livelihood strategies...............................................................................305. Determinants of Employment and Earnings.....................................................................325.1. Employment “Choice”What affects the probability of getting a good or a bad job?33
 Adolescents – Determinants of Work and/or Schooling........................................35
5.2. Determinants of Earnings - Segmentation & Access to “good” jobs.......................37
 Determinants of Earnings – Levels and Changes..................................................37  Is the wage sector segmented?...............................................................................40
6. Concluding Remarks........................................................................................................41References.................................................................................................................................43Appendix 1: Data comparability issues...................................................................................46Appendix 2: Definitions of Variables......................................................................................48

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