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Affiliation(s)

University of Maroua, Maroua, Cameroon

ABSTRACT

This research work is an empirical analysis of the relationship between unemployment and health in Sub Saharan Africa (SSA). In examining the impact of unemployment on health, we firstly made a test of interdependence of our conceptual framework. Secondly, we used the modified Generalized Methods of Moment (GMM) by Arellano and Bond (1991) from the econometric perspective to study the link between unemployment and health. We then resolved the problem of endogeneity by using a dynamic panel data relative to the study period 2006-2017. After carrying out a series of tests: test of cross-sectional dependence, stationarity tests, co-integration tests, test of endogeneity and identification of the model, the results revealed that the co-integration analysis supports a robust long-run relationship between our variables. Consequently, a 1% rise in unemployment rate at lag 1 leads to a 0.148% rise in female, 0.134% rise in male and 0.138% rise in total mortality rates, and at levels it leads to a 1.166% rise in total mortality rate in middle income countries. However, in low income countries, a 1% rise in unemployment rate leads to a 0.166% fall in total mortality rate. In terms of recommendations, to maintain a low level of unemployment rate, actions to undertake have to be based on the better functioning of the labour market, a better flexibility of markets, a health insurance cover and limiting incitements which depress economic activities.

KEYWORDS

unemployment rate, mortality rates, middle and low income countries, GMM

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