EconPapers    
Economics at your fingertips  
 

Peer Effects in Employment: Results from Mexico's Poor Rural Communities

M. Caridad Araujo, Alain de Janvry () and Elisabeth Sadoulet

Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series from Department of Agricultural & Resource Economics, UC Berkeley

Abstract: Empirical evidence has shown that off-farm non-agricultural (OFNA) employment offers a major pathway from poverty for rural populations. However, the pattern of participation in these activities is heterogeneous across categories of individuals and poorly understood. We explore the role of spillovers from peers on an individual’s participation in formal and informal OFNA employment using village census data for rural Mexico. We test and reject the possibility that peers’ decisions could be proxying for unobserved individual, village-level, or individual-type effects. We find that peers’ participation in OFNA employment has a large impact on an individual’s ability to engage in this type of employment, both formal and informal, even after controlling for individual attributes and village characteristics. Peer effects are structured by similarities in gender, ethnicity, educational level, and land endowment. We find that marginal peer effects tend to be stronger for categories of individuals that are already more engaged in OFNA employment, such as men, non-indigenous people, the more educated, and the landless, contributing to reinforcing inequalities in accessing these jobs. However, the role of peer effects relative to that of education in obtaining formal OFNA employment is more important for members of groups that are less engaged in these jobs, such as women, indigenous people, the less educated, and smallholders.

Keywords: off-farm employment; rural poverty; social aspects (search for similar items in EconPapers)
Date: 2004-08-01
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
https://www.escholarship.org/uc/item/977093fg.pdf;origin=repeccitec (application/pdf)

Related works:
Working Paper: Peer Effects in Employment: Results from Mexico's Poor Rural Communities (2004) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cdl:agrebk:qt977093fg

Access Statistics for this paper

More papers in Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series from Department of Agricultural & Resource Economics, UC Berkeley Contact information at EDIRC.
Bibliographic data for series maintained by Lisa Schiff ().

 
Page updated 2025-03-24
Handle: RePEc:cdl:agrebk:qt977093fg