Marcel Fafchamps, Freeman Spogli Institute, Stanford University was involved in a research study in Ethiopia and presented the research findings on on March 27, 2017 at The George Washington University as part of the JSDE Seminar Series. The research answered the question, Do search frictions constrain the labor market prospects of young workers? This research consisted of a randomized evaluation of two programs designed to lower spatial and informational barriers to job search among 4,000 young Ethiopians. Treatments conducted found young job-seekers got better jobs (more stable and formal), and the effects are strongest for the most disadvantaged job-seekers. Investigating the underlying mechanisms showed interventions mitigated adverse effects of spatial constraints on labor allocation, and helped job applicants to better signal their abilities.

 

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