Job Search Behavior of Unemployed in Ethiopia: A Case Study of Addis Ababa

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Date

1999-06

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A.A.U

Abstract

The objective of this study is to analyze the behaviour of unemployed job seekers. The data used was collected from urban area utilizing systemic random sampling method . A job search model was adapted from an earlier simultaneous search model developed by Stephenson (1 976) . This model was estimated by use of ordinary least Square estimation technique. analyses is was done in two sections. The first section employed simple algebraic measure (i.e percentages) while the second section utilized regression analysis The study found that: most of the job searchers are single, young, secondary School completed, untrained for the job they seek, indigenous of the area under study, had not been employed before had been unemployed for more than a year and used answering newspaper advertisements to look for jobs. The majority of females were untrained for the job they seek. search duration was the best fitting equation . It was found to be significantly determined by age , search extensiveness, training and subsidy of basic needs. Other variables, namely the estimated tenure of job, search cost and reservation wage were found to be determined by quit decision, marital status and education respectively. The policy recommendations arising from this study result on how to reduce the number of unemployed jobs seeker include: increasing training institutions with a curriculum which recognize the existing and future labour demand for the Ethiopian economy , keeping females longer in training institutions to reverse the ex The objective of this study is to analyze the behaviour of unemployed job seekers. The data used was collected from urban area utilizing systemic random sampling method . A job search model was adapted from an earlier simultaneous search model developed by Stephenson (1 976) . This model was estimated by use of Ordinary Least Square estimation technique. Analys is was done in two sections. The first section employed simple algebraic measure (i.e percentages) while the second section utilized regression analysis The study found that: most of the job searchers are single, young, secondary school completed , untrained for the job they seek , indigenous of the area under study, had not been employed before had been unemployed for more than a year and used answering newspaper advertisements to look for jobs. The majority of females were untrained for the job they seek. Search duration was the best fitting equation. It was found to be significantly determined by age , search extensiveness, training and subsidy of basic needs. Other variables, namely the estimated tenure of job, search cost and reservation wage were found to be determined by quit decision, marital status and education respectively. The policy recommendations arising from this study result on how to reduce the number of unemployed jobs seeker include: increasing training institutions with a curriculum which recognize the existing and future labour demand for the Ethiopian economy , keeping females longer in training institutions to reverse the existing situation of their state of long duration of unemployment so that they could join the labour market while not very young and finally increase the assistance for the informal sector which trained the majority of trained respondents. Addis Ababa university

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Keywords

Behaviour, Unemployed

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