Does Trade Openness Affects Employment in Cameroon?

AuthorIbrahim Ngouhouo,Tii Njivukuh Nchofoung
Publication Date01 Feb 2021
DOI10.1177/0015732520961307
SubjectArticles
Does Trade Openness
Affects Employment in
Cameroon?
Ibrahim Ngouhouo1 and
Tii Njivukuh Nchofoung2
Abstract
The objective of this paper is to examine the effect of trade openness on employ‑
ment in Cameroon. The methodologies used in order to test our hypothesis
were the FMOLS and DOLS. The results of the estimations show a positive and
significant effect of trade openness on employment in Cameroon with both
methods. Indeed, industrialisation and investments were found to significantly
increase employment in Cameroon. As recommendations, if Cameroon envisages
expanding in international trade, she should encourage sectors that have a spillo‑
ver effect. These include increasing industrialisation which will lead to increase in
national productivity. Furthermore, the educational system should match training
with jobs.
JEL Codes: F16, C22
Keywords
Trade openness, employment, FMOLS, DOLS
Introduction
The trade openness employment relationship is one of the economics relations
with diverse views both theoretically and empirically. Furusawa (1999) argued
that trade openness increases the incidence of poverty, social inequality, job
Article
1 Faculty of Economics and Management, University of Dschang, Cameroon.
2 Dschang School of Economics and Management, University of Dschang, Cameroon.
Corresponding author:
Tii Njivukuh Nchofoung, Dschang School of Economics and Management, University of Dschang,
Cameroon.
E‑mail: ntii12@yahoo.com
Foreign Trade Review
56(1) 105–116, 2021
© 2020 Indian Institute of
Foreign Trade
Reprints and permissions:
in.sagepub.com/journals‑permissions‑india
DOI: 10.1177/0015732520961307
journals.sagepub.com/home/ftr

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