Discussion Papers

No.671 TVET as the last educational chance: Employability and family background of Ethiopian urban youth

by Kazue DEMACHI

May 2017


This paper analyzes the effect of TVET schooling of Ethiopian urban youth on their employability using the Urban Employment and Unemployment Survey (UEUS). In estimating the personal returns of TVET experience, we put special focus on family background of workers, with the hypothesis that family characteristics strongly influence on the employability of workers. We find general positive effects of TVET on employability in benchmark regressions as well as sample selection model. However once we controlled endogeneity of TVET choice and family background, the TVET positive effect disappeared. The results suggest the possibility that public vocational school is viewed and chosen as a last resort of education or alternative to general education, especially for those who were denied to proceed to further education, failed to enter upper secondary schools, and females, but only if they are financially fit. 

Keywords: TVET; youth; Ethiopia; unemployment; family background
JEL classification: J21; I25; I26

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