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The Evolution of Labor Supply and Unemployment in the Egyptian Economy: 1988-2012

Ragui Assaad () and Caroline Krafft

No 806, Working Papers from Economic Research Forum

Abstract: This paper analyzes the evolution of labor supply and unemployment in Egypt in the period from 1999 to 2012, focusing on the impact of the demographic phenomenon known as the youth bulge and the impact of the world financial crisis and the marked economic slowdown following the January 25th 2011 revolution. Data from the Egypt Labor Market Panel Survey of 2012 is used and compared to previous survey rounds. Trends in population, the labor force, employment, and unemployment are investigated and examined by age and education. Even though demographic pressures on the labor market have decreased since 2006 as the youth bulge generation has already made its way into the labor market, employment rates have decreased, labor force participation among women has decreased, unemployment has slightly increased, and under-employment has increased substantially. Overall, the labor market post-revolution is in a weaker position than in 2006.

Date: 2013-11, Revised 2013-11
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