Louise M. Fox and Melissa Sekkel Gaal. Working Out of Poverty: Job Creation and the Quality of Growth in Africa.
Subject: Job creation
Author: Beyg, Neelum Nigar
Pub Date: 09/22/2010
Publication: Name: Pakistan Development Review Publisher: Pakistan Institute of Development Economics Audience: Academic Format: Magazine/Journal Subject: Business, international; Social sciences Copyright: COPYRIGHT 2010 Reproduced with permission of the Publications Division, Pakistan Institute of Development Economies, Islamabad, Pakistan. ISSN: 0030-9729
Issue: Date: Autumn, 2010 Source Volume: 49 Source Issue: 3
Accession Number: 270617571
Full Text: Louise M. Fox and Melissa Sekkel Gaal. Working Out of Poverty: Job Creation and the Quality of Growth in Africa. The World Bank. 2008. Paperback. 81 pages. $10.00.

This is a collection of papers on Africa's economic performance and job creation over the decades, especially since 1995. The papers included in the book argue for policies to improve the growth performance in Africa through more stable and high income-earning activities. The papers argue that to improve growth performance, the focus of policy should be on improving the investment climate rather than on regulation of the labour market. The papers emphasise that besides sound macroeconomic environment and congenial investment climate, the quality of available labour is also an important determinant of job creation and the growth performance of Africa. Studies focused on Sub-Saharan Africa indicate that insufficient skill base and the poor health and education of the workers constrains investment and job creation in the manufacturing sector. The authors also highlight the importance of the readily expanding informal sector for the labour market in particular and the growth performance in general. The papers suggest that all across the SubSaharan Africa, job opportunities in the formal sector have not grown proportionate to the growth of the labour force. Accordingly, those who could not find a paid job have moved into non-agricultural, small-scale entrepreneurial activities. The informal sector is, thus, a major source of employment in both rural and urban areas all across the continent. Given its importance, the authors recommend policies and programmes designed to enhance the productivity of labour in the informal sector. They stress upon undertaking steps that would ensure that the informal sector continues to be a way out of poverty rather than a low-skill trap. The trade-off between growth and equity is discouraged in favour of growths that help the poor. (Neelum Nigar Beyg)
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