Beyond dualism: Multisegmented labor markets in Ghana

James Heintz () and Fabian Slonimczyk ()
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James Heintz: Political Economy Research Institute, University of Massachusetts

UMASS Amherst Economics Working Papers from University of Massachusetts Amherst, Department of Economics

Abstract: Using estimates of earnings functions in Ghana, this paper examines patterns of labor market segmentation with regard to formal and informal employment. Persistent earnings differentials are used as indicators of limited mobility across segments of the employed labor force. We find evidence of labor market segmentation between formal and informal employment and between different categories of informal employment which cannot be fully explained by human capital, physical asset, or credit market variables. We argue that dualist labor market models may not be appropriate for understanding employment dynamics in all circumstances and an approach that recognizes the multi-segmented character of labor markets may be preferable. JEL Categories: J21, J30, O17, O55.

Keywords: dualism; labor markets; employment; segmentation; Ghana. (search for similar items in EconPapers)
Date: 2007-01
New Economics Papers: this item is included in nep-afr and nep-dev
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Working Paper: Beyond Dualism: Multi-Segmented Labor Markets in Ghana (2007)
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