Ethnicity and Wage Determination in Ghana
The authors look at earnings differentials between members of different ethnic groups, and between employers' relatives, unrelated members of the same ethnic group, and other workers in Ghana's manufacturing sector. They find that a signi...
| Main Authors: | , |
|---|---|
| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2000/12/828309/ethnicity-wage-determination-ghana http://hdl.handle.net/10986/19739 |
| Summary: | The authors look at earnings
differentials between members of different ethnic groups,
and between employers' relatives, unrelated members of
the same ethnic group, and other workers in Ghana's
manufacturing sector. They find that a significant
proportion of the earnings differentials identified between
ethnic groups can be explained with reference to a fairly
standard set of observations about workers'
characteristics. Labor market segregation along ethnic lines
- combined with considerable variation in employers'
characteristics (especially educational attainment and
family background, possibly because of discrimination in
other markets) - accounts for most of the remaining
differentials. Northerners earn considerably less than other
groups, mainly because they are less educated. The Other
Akan earn much more than the relatively low-earning Asante,
Fante, and Ewe. There is no evidence of discrimination
between ethnic groups, although there is evidence of
discrimination in favor of inexperienced workers from the
same ethnic group, who can be assessed, and matched with
jobs more easily than similar workers from other ethnic
groups. Finally, workers who are related to their employers,
earn a considerable premium, possibly because they
contribute more to productivity than their fellow workers
(perhaps through an effect on "esprit de corps").
The authors' results draw attention to some startling
differences in educational, and labor market attainment
between groups. A strong case can be made for including such
issues in the policy debate. |
|---|