The Job Offer After the Oil Prices Fall in Algeria: A Spatial Analysis using Panel DataApproach (2014-2017)

Abstract

The present paper analyses the overall employment supply by the four economic sectors offering employment (Industry, Agriculture, Services, and BTPH), based on a spatial analysis for all the Wilayas of Algeria grouped into eleven regional direction of employment (DREM), using panel data approach. The main objective of this research is to present one econometric model that models the employment supply in the eleven regional directions of employment in the same time, to figure out how it varies over the DREMs, and to define the significant job-creating sectors in all these areas after the all prices fall (from 2014 to 2017), using the division and the data of ANEM. Based on the results, unlike the previous studies, the B.T.P.H sector is no more a job-creating sector, but the industrial and the services sectors becomes the most job-creating sectors in Algeria after the oil prices fall shock of 2014, the job offer (employment supply) is heterogeneous among the different regional directions of employment (DREM) except for the region of the center (Algiers) and the region of the East-center (Wilayas of the East-center), which is explained by the existence of the industrial poles and the strategic geographical locations of the two regions.