Trends and Constraints Associated with Labor Faced by Non-Farm Enterprises

Armida Alisjahbana and Chris Manning

No 200711, Working Papers in Economics and Development Studies (WoPEDS) from Department of Economics, Padjadjaran University

Abstract: This paper examines trends in non-farm employment and associated labor market constraints that have hindered the growth of non-farm employment (NFE) since the economic crisis in 1997-98. We observed, among others, apparent negative correlation between employment growth in agriculture and NFE, the high rate of urban employment growth, which was more than double the rate in rural areas, and the slow growth of formal sector employment – in both rural and urban areas and in farm and in non-farm sectors. Some policy implications are discussed.

Keywords: labor market constraints; non farm enterprises; Indonesia (search for similar items in EconPapers)
JEL-codes: J0 J2 J7 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-sea
Date: 2007-10, Revised 2007-10
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Persistent link: http://EconPapers.repec.org/RePEc:unp:wpaper:200711

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