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Spatial Inequality for Manufacturing Wages in Five African Countries

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  • Dirk Willem te Velde
  • Oliver Morrissey

Abstract

This paper uses data on individual earnings in manufacturing industry for five African countries in the early 1990s to test whether firms located in the capital city pay higher wages than firms located elsewhere, and whether such benefits accrue to all or only certain types of workers. Earnings equations are estimated that take into account worker characteristics (education and tenure) and relevant firm characteristics (notably size and whether foreign owned). Any location effect identified is therefore additional to appropriate control variables. There are two main findings.

Suggested Citation

  • Dirk Willem te Velde & Oliver Morrissey, 2003. "Spatial Inequality for Manufacturing Wages in Five African Countries," WIDER Working Paper Series DP2003-66, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:dp2003-66
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    File URL: https://www.wider.unu.edu/sites/default/files/dp2003-066.pdf
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    References listed on IDEAS

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    Cited by:

    1. Baliamoune-Lutz, Mina & Lutz, Stefan H., 2004. "Rural-urban inequality in Africa: A panel study of the effects of trade liberalization and financial deepening," ZEI Working Papers B 06-2004, University of Bonn, ZEI - Center for European Integration Studies.
    2. Neil Foster-McGregor & Anders Isaksson & Florian Kaulich, 2014. "Importing, exporting and performance in sub-Saharan African manufacturing firms," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 150(2), pages 309-336, May.

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