Scandinavian Working Papers in Economics

Working Papers in Economics,
University of Bergen, Department of Economics

No 01/11: Caste, local networks and lucrative jobs: Evidence from rural Nepal

Magnus Hatlebakk (), Vegard Iversen () and Gaute Torsvik ()
Additional contact information
Magnus Hatlebakk: CMI (Chr. Michelsen Istitute), Postal: CMI (Chr. Michelsen Institute), P.O.Box 6033 Bedriftssenteret, N-5892 Bergen, Norway - Visiting address: Jekteviksbakken 31, Bergen ,
Vegard Iversen: Norwegian School of Economics and Business Administration), PhD (Cambridge)., Postal: School of Environment and Development, The University of Manchester, PO Box 88, Manchester, M60 1QD, UK
Gaute Torsvik: University of Bergen, Postal: Department of Economics, Fosswinckelsgt. 14, 5007 Bergen, Norway

Abstract: Abstract: We study how local connections to persons in influential positions affect access to migrant jobs and government employment. In rural Nepal, it would not be surprising if social status strongly influenced the access to attractive labor market opportunities. This is not the case. Although much of the variation in migration can be attributed to wealth, education and social identity, household networks have a separate impact on external employment. Wellconnected households are more likely to get government jobs and appear to have favorable access to the manpower agencies and informal loans required to finance migration to the Persian Gulf or Malaysia.

Keywords: Geographic labor Mobility; Immigrant Workers; Model Construction and Estimation; Regional Migration; Regional Markets; Population; Neighborhood Characteristics

JEL-codes: C51; J61; R23

34 pages, January 30, 2011

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