The impact of economic globalisation on labour market outcomes in Africa

Beri, Parfait and Molem, Christopher Sama (2024): The impact of economic globalisation on labour market outcomes in Africa. Forthcoming in: Global Business and Economics Review , Vol. X, No. Y

Abstract

This study examines the impact of economic globalisation (ECONGLO) on labour market outcomes, using ARDL regressions. Among its key results, the study discovered that ECONGLO has a long-term positive causal impact on total employment, employment in industry, and the number of waged and salaried workers. The study also uncovered that ECONGLO has a long-term negative causal effect on total unemployment and employment in the agricultural sector. Because results are robust with an alternative measure of ECONGLO, African countries can leverage globalisation for job creation and sectoral development over the long run. It is also important to consider the short-term costs of ECONGLO, such as job losses in some sectors and income inequality due in part to the decrease in labour share, and develop strategies to mitigate them. The broader implications of our findings for economic development and social stability in African countries underscore the importance of this paper.

• Item Type: MPRA Paper
• Language: English
• Keywords: economic integration; globalisation; labour market; employment; unemployment; labour share
• Subjects: F - International Economics > F6 - Economic Impacts of Globalization > F62 - Macroeconomic Impacts; F - International Economics > F6 - Economic Impacts of Globalization > F63 - Economic Development; F - International Economics > F6 - Economic Impacts of Globalization > F66 - Labor; F - International Economics > F6 - Economic Impacts of Globalization > F68 - Policy

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