The differential impact of employment in agriculture on wages for rural and non-rural Palestine

Yousef Daoud () and Belal Fallah ()
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Yousef Daoud: Doha Institute for Graduate Studies
Belal Fallah: Palestine Polytechnic University

IZA Journal of Labor & Development, 2016, vol. 5, issue 1, 1-19

Abstract: Abstract This paper investigates the differential impact of employment in agriculture on rural and non-rural wages using the quarterly labor force survey (LFS) collected by the Palestine Central Bureau of Statistics (PCBS). We estimate the wage equation for rural and non-rural workers controlling for structural, socioeconomic, and political factors. The results suggest that employment in agriculture lowers the average wage by a range from 26 to 34 % for the non-rural population and 30–37 % for rural population. Meanwhile, Israeli closures tend to raise the probability of selecting agriculture as a sector for employment. Among other findings, the results also show that returns to education are lower for rural workers than for non-rural workers. JEL Classification: R11, J30, J61, J01

Keywords: Labor supply; Labor demand; Commuting; Wage differential (search for similar items in EconPapers)
Date: 2016
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Citations: View citations in EconPapers (2)

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DOI: 10.1186/s40175-016-0063-9

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