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
PublisherTilburg University
Number of pages31
Publication statusPublished - 6 Apr 2016

Publication series

NameDFID Working Paper

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