Finance and Demand for Skill: Evidence from Uganda

T.H.L. Beck, M. Homanen, Burak Uras

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Abstract

We explore the empirical interaction between firm growth, financing constraints and job creation. Using a novel small business survey from Uganda, we find that the extent to which small businesses expand skilled employment as their sales and profits increase depends significantly on access to external funding. The results
are robust to the inclusion of various firm level controls, region and sector fixed effects. We address reverse causality concerns by providing empirical evidence using planned hiring regression specifications.
Original languageEnglish
Place of PublicationTilburg
PublisherCentER, Center for Economic Research
Number of pages32
Volume2016-014
Publication statusPublished - 7 Apr 2016

Publication series

NameCentER Discussion Paper
Volume2016-014

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Keywords

  • financial access
  • trained and experienced employment
  • uganda

Cite this

Beck, T. H. L., Homanen, M., & Uras, B. (2016). Finance and Demand for Skill: Evidence from Uganda. (CentER Discussion Paper; Vol. 2016-014). Tilburg: CentER, Center for Economic Research.