The impact of health and education on labour force participation : the case of Botswana (1982-2007)

Abstract

The current study assesses the impact of health and education on labour force participation in Botswana using time series data from 1982-2007. To achieve this, stationary test; Johansson Co integration test and multi-collinearity test were conducted before using a dynamic ordinary feast square estimation. There are three labour force participation estimates each -with four different models. These include: male, female and total labour force participation rate. The .findings were as follows: firstly, an increase of primary school enrolment reduces female participation in the labour force but increases the male participation rate. This increase in male participation rate could be as a result of size of male participants in the labour force or because of their role in the family, especially in the African settings. Secondly, an increase in contemporaneous education expenditure increases both female labour force participation and the total labour force participation rate but reduces their participation in the short-run. Thirdly, the study also shows that an increase in contemporaneous health expenditure increases male participation rate and reduces male participation rate in the long-run while overall labour force participation rate increases in the long-run. Finally. given the importance of health and education on labour force participation rate in Botswana, the study asserts that it is of paramount importance for government to incorporate strategies that encourage citizens to recognise the need to maintain good health and education. In absence of such interventions, Botswana might find it difficult to achieve most of her vision 2016 and MDG 's goals.