Thursday, June 03, 2010
[IWS] AfDB: EDUCATION & EMPLOYMENT in MALAWI [2 June 2010]
IWS Documented News Service
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Institute for Workplace Studies----------------- Professor Samuel B. Bacharach
School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies
Cornell University
16 East 34th Street, 4th floor---------------------- Stuart Basefsky
New York, NY 10016 -------------------------------Director, IWS News Bureau
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African Development Bank (AfDB)
Working Paper #110
June 2010
Education and Employment in Malawi
Vincent Castel, Martha Phiri and Marco Stampini
http://www.afdb.org/fileadmin/uploads/afdb/Documents/Publications/WORKING%20110%20PDF%20d%2022.pdf
[full-text, 32 pages]
Abstract:
This paper analyzes the relationship between
education and employment in Malawi, using
data from the 2004-05 Integrated Household
Survey (IHS-2). For both men and women,
education is the passport to formal
employment and leads to higher hourly
earnings. Within regular wage employment,
secondary education is associated with a
123 percent wage premium, and university
education with a 234 percent wage premium
(relative to illiteracy). In both rural and urban
areas, income is positively correlated with
specialization in regular wage employment.
For example, in urban areas 60 percent of the
households who derive at least 75 percent of
their income from regular wage employment
belong to the highest quartile of the income
distribution. This reflects the relative scarcity
of human capital. Among prime age males
(25 to 39 years old), only 10 percent have
completed secondary education. For women
in the same age group, the situation is even
worse, with the rate of completion of
secondary schooling as low as 3 percent.
The analysis of school enrolment highlights
that teenage women experience high dropout
rates, which prevent greater female
enrollment in higher education, and therefore
constrain future participation in the best
forms of employment.
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Stuart Basefsky
Director, IWS News Bureau
Institute for Workplace Studies
Cornell/ILR School
16 E. 34th Street, 4th Floor
New York, NY 10016
Telephone: (607) 255-2703
Fax: (607) 255-9641
E-mail: smb6@cornell.edu
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