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An Occupational Choice Model for Developing Countries

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dc.creator Gerardo Jacobs
dc.date 2007
dc.date.accessioned 2013-10-16T07:07:15Z
dc.date.available 2013-10-16T07:07:15Z
dc.date.issued 2013-10-16
dc.identifier http://hdl.handle.net/10419/19871
dc.identifier ppn:560905688
dc.identifier RePEc:zbw:gdec07:6538
dc.identifier.uri http://koha.mediu.edu.my:8181/xmlui/handle/10419/19871
dc.description Most occupational choice models introduce only two options for agents: entrepreneurial activities or wage-employment. However, these models represent inadequately the labor force distribution from developing countries, where an important proportion of the total work force are self-employed workers. Some models introduce self-employment as an occupational choice. These works have a common feature : at equilibrium, wage earners belong to the lower end of the income distribution. However, for a large set of developing countries, peasants and small proprietors are part of a self employment sector that can mostly be found in the lower end of the income distribution. In this work, in contrast with previous efforts, self-employment formation is consistent with data from most developing countries. We pay special attention to the conditions under which either the economy ends in a low income equilibrium, where self-employment is the only form of production; or alternatively, a high income equilibrium with a well developed labor market. We study some public policy issues, paying special attention to role of capital markets and the efficiency of schooling.
dc.language eng
dc.publisher
dc.relation Proceedings of the German Development Economics Conference, Göttingen 2007 / Verein für Socialpolitik, Research Committee Development Economics 15
dc.rights http://www.econstor.eu/dspace/Nutzungsbedingungen
dc.subject O12
dc.subject J24
dc.subject ddc:330
dc.subject Occupational Choice
dc.subject Human Capital
dc.subject Economic Development
dc.subject General Equilibrium
dc.title An Occupational Choice Model for Developing Countries
dc.type doc-type:conferenceObject


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