Determinants of the participation of the field population in the RMSP labor market

Abstract

Given the importance of the participation of the rural population in the labor market, the present study evaluates the behavior of the determinants of such insertion through an econometric model that estimates the chances of an individual being economically active, the Probit model. This model is a type of regression analysis suitable for datasets where a dependent variable is a binary choice. The determinants that had the greatest impact in terms of increasing participation were: education, age, position at home and race. In order to make a comparison between genders, it also estimates the participation for men and women separately. Among the differences found, the main one was that, although the impact of education on the studied probability was the most important among the factors analyzed for both genders, it was more marked among women for the highest levels of education. Another important result was the variables of household heads and whether the person is married, being marked by men and women, respectively.

Keywords: Labor Market. PEA. Metropolitan region of Sao Paulo.