The Palestinian Economy. Theoretical and Practical Challenges
The Palestinian Economy. Theoretical and Practical Challenges
The Palestinian Economy. Theoretical and Practical Challenges
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Proceedings “<strong>The</strong> <strong>Palestinian</strong> <strong>Economy</strong>: <strong>The</strong>oretical <strong>and</strong> <strong>Practical</strong> <strong>Challenges</strong>” 417<br />
Industry group<br />
Agriculture -2.598 .023 .074 12725.957 .000<br />
Manufacturing -1.228 .019 .293 4114.233 .000<br />
Construction -.393 .015 .675 645.741 .000<br />
Commerce-hotels <strong>and</strong><br />
restaurant<br />
-2.652 .024 .071 12043.638 .000<br />
Transport, storage<br />
<strong>and</strong> communication<br />
-2.334 .038 .097 3811.468 .000<br />
services 0(b) . . . .<br />
a. <strong>The</strong> reference category is: Full Employment.<br />
b. This parameter is set to zero because it is redundant.<br />
6. Summary <strong>and</strong> policy implication<br />
<strong>The</strong> results are broadly consistent with human capital arguments. Increased education<br />
implies increased chances of full-time employment, while having a low level of education<br />
is associated with increased odds of not being employed, rather than being part-time.<br />
Similarly, the association between age <strong>and</strong> full-time employment mirrors an age-earnings<br />
profile with the likelihood of full-time employment peaking at about the age at which<br />
earnings are at their maximum. In terms of family variables, there are significant<br />
variations by marital status, with singles being significantly less likely than married or<br />
divorced to be in full-time employment. Geographical factors have great influence on<br />
employment hardships. Living in the West Bank or in urban areas increases the chances<br />
of full-time employment. Our findings seem to corroborate the apparently more<br />
precarious position of rural individuals in terms of labour market instability, which should<br />
be taken into account when evaluating employment hardship in rural areas.<br />
Policy implication of the strong link between education <strong>and</strong> better chances of being<br />
fully employed is that the policy makers should concentrate on increasing education<br />
levels especially to females. This will increase female labour force participation rates <strong>and</strong><br />
their employment stability.<br />
<strong>The</strong> main conclusion of this paper may prove useful to the policy makers in<br />
designing labour market policies, initiatives <strong>and</strong> programs appropriate for improving<br />
the status of marginalised groups. This valid mainly for job creation programs, on the<br />
job training, that should give priority to females, young, uneducated people, those<br />
living in rural areas since they suffer employment hardship reflecting social<br />
stratification of people <strong>and</strong> places.
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