Yukichi Mano

Job Choice of Three Generations in Rural Laos

Using a rare individual-level data set, this article explores the role of education and farmland on the choice of job of three generations of household members in rural Laos. While the first (G1) and the second (G2) generations are mainly engaged in farming, the youngest generation (G3) is engaged in nonfarm wage and overseas work. Education matters in nonfarm wage work, but not necessarily in overseas work. The female members of G3 are more likely to migrate. Our findings imply a shortage of jobs in rural Laos, pushing the less educated and the females to cross the border to Thailand.

Industrial Development through Takeovers and Exits: The Case of the Cut Flower Exporters in Ethiopia

The exit and takeover of firms influence the structure and economic efficiency of an industry. The existing literature suggests that firms gradually learn about their own productivity. Some stagnate and ultimately exit if they encounter unfavorable prospects; others survive and grow. This selection process implies that the probability of firm exit initially increases with firm age as learning progresses before it eventually falls as learning is completed. We use a firm-level panel of Ethiopia’s cut flower industry to confirm this theoretical implication. The empirical results also suggest that takeover improves productivity and profitability of average firms endowed with a favorable business environment.