Publication:
Fast, Easy and Cheap Job Matching: Social Networks in Bangladesh

dc.contributor.authorMatsuda, Norihiko
dc.contributor.authorNomura, Shinsaku
dc.date.accessioned2017-06-21T20:42:09Z
dc.date.available2017-06-21T20:42:09Z
dc.date.issued2017-06
dc.description.abstractThis paper uncovers the reason why social networks are used in a job market. The data are novel: a nationally representative matched employer-employee data set in Bangladesh with detailed information, including direct measures of the use of social networks. The empirical analysis shows that compared with those who used open channels to find jobs, the employees who used social networks found jobs more easily, have lower observable abilities, and achieved lower employment outcomes conditional on observable and unobservable abilities. These results are robust whether firm-occupation fixed effects are controlled for or not. By comparing these findings with theoretical predictions, the paper concludes that social networks play the role as fast and easy but narrow-spectrum matching. That is, social networks allow job seekers to find jobs quickly and easily and thereby reduce search costs, but the types of jobs available from social networks are narrower than those from open channels. As a consequence, those who choose to use social networks are more likely to end up having mismatched jobs, that is jobs in which they cannot take advantage of their specialties. In the context of developing countries, a considerable number of poor job seekers may use social networks out of necessity even if the returns to finding good-match jobs through open channels are sufficiently high.en
dc.identifierhttp://documents.worldbank.org/curated/en/953151497983995134/Fast-easy-and-cheap-job-matching-social-networks-in-Bangladesh
dc.identifier.doi10.1596/1813-9450-8107
dc.identifier.urihttps://hdl.handle.net/10986/27307
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper;No. 8107
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo
dc.subjectSOCIAL NETWORKS
dc.subjectLABOR MARKET
dc.subjectJOB SEARCH
dc.subjectREFERRALS
dc.titleFast, Easy and Cheap Job Matchingen
dc.title.subtitleSocial Networks in Bangladeshen
dc.typeWorking Paperen
dc.typeDocument de travailfr
dc.typeDocumento de trabajoes
dspace.entity.typePublication
okr.crossref.titleFast, Easy and Cheap Job Matching: Social Networks in Bangladesh
okr.date.disclosure2017-06-20
okr.doctypePublications & Research
okr.doctypePublications & Research::Policy Research Working Paper
okr.docurlhttp://documents.worldbank.org/curated/en/953151497983995134/Fast-easy-and-cheap-job-matching-social-networks-in-Bangladesh
okr.guid953151497983995134
okr.identifier.doi10.1596/1813-9450-8107
okr.identifier.externaldocumentum090224b084ce9624_1_0
okr.identifier.internaldocumentum27659083
okr.identifier.reportWPS8107
okr.importedtrue
okr.language.supporteden
okr.pdfurlhttp://documents.worldbank.org/curated/en/953151497983995134/pdf/WPS8107.pdfen
okr.region.administrativeSouth Asia
okr.region.countryBangladesh
okr.statistics.combined1484
okr.statistics.dr953151497983995134
okr.statistics.drstats1123
okr.topicSocial Protections and Labor::Labor Markets
okr.unitEducation Global Practice Group
relation.isAuthorOfPublication208a78c7-9120-529a-af26-4b54b9ebfece
relation.isAuthorOfPublication.latestForDiscovery208a78c7-9120-529a-af26-4b54b9ebfece
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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