Contents

The Effect of foreign direct investment on unemployment in Sub-Saharan Africa

GOMEZ, Rene Anthony

Abstract

This study aims to measure the effect of foreign direct investment on unemployment in Sub-Saharan African region. The empirical approach makes use of longitudinal/panel data sourced from the World Development Indicators (World Bank) and the United Nations Conference on Trade and Development (UNCTAD) data base for the period 1991-2016.

Unemployment as a percentage of total labor force (of the International Labor Organization estimate) was used as an indicator for unemployment. The study used Pooled Ordinary Least Squares, Fixed Effects and Random effects to determine the effect of foreign direct Investment on unemployment.

The study revealed that foreign direct investment and ratio of female to male in labor force participation have both positive and negative effects on unemployment. Gross fixed capital formation also has a strong effect in reducing unemployment while Gross Domestic product per capita and trade have a strong effects in increasing unemployment in Sub-Saharan Africa. These findings confirm related empirical evidence in many countries.

From a policy viewpoint, the results of this study call for a reform in labor market policy makers to be attentive to the ratios of female to male participation in the labor force, foreign direct investment and trade since these are all crucial in reducing unemployment in Sub-Saharan Africa.

Advisors
Lee, Si Wook
Department
KDI School, Master of Development Policy
Issue Date
2018
Publisher
KDI School
Description
Thesis(Master) --KDI School:Master of Development Policy,2018
Keywords
Investments, Foreign--Africa, Sub-Saharan.; Unemployment--Africa, Sub-Saharan.
Contents
1 INTRODUCTION

2 LITERATURE REVIEW

3 METHODOLOGY

4 REGRESSION RESULTS AND DISCUSSIONS

5 CONCLUSIONS
Pages
vii, 35 p
URI
https://archives.kdischool.ac.kr/handle/11125/32208
Type
Thesis
Access Rigths
Restricted : cannot be viewed until open from copyright holder
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