Economic Research Forum (ERF)

Caroline Krafft

Founding contributors

Caroline Krafft
Saint Catherine University

Caroline Krafft is an assistant professor of economics at St. Catherine University. She received her PhD from the Department of Applied Economics at the University of Minnesota. Her research examines issues in development economics, primarily labor, education, health, and inequality in the Middle East and North Africa. Current projects include work on refugees, labor market dynamics, life course transitions, human capital accumulation, and fertility.

Content by this Author

Supporting women’s livelihoods in Egypt: opportunities and challenges

Despite the rising educational attainment of women in Egypt, their employment has declined over time and many face multiple constraints on their engagement in the labour market. This column explores ways of increasing women’s assets and economic empowerment that may ultimately lead to Egypt being as equitable in employment attitudes and practices as it is in education.

Labour supply in Egypt: untapped potential

Labour force participation has decreased for both men and women in Egypt. This column reports the latest data, noting that the potential contributions of a large share of the country’s increasingly educated population are untapped. Creating a conducive business environment that can generate good jobs is critically important to engaging all of Egypt’s human potential.

The future of Egypt’s population: opportunities and challenges

Egypt’s potential labour supply depends on the growth and changing composition of its working-age population. This column reports the latest data on labour supply and fertility rates, concluding that the country has a window of opportunity with reduced demographic pressures to try to address longstanding structural challenges for the labour market.

The impact of hosting refugees on the labour market

What are the labour market effects of a massive influx of people on members of the host community? This column examines the experience of Jordan resulting from the conflict in neighbouring Syria. Evidence shows that Jordanians living in areas with high concentrations of Syrian refugees had no worse labour market outcomes than Jordanians with less exposure to the influx.

Syrian refugees in Jordan: educational enrolment and progress

School enrolment for Syrian refugees in Jordan has been disrupted due to conflict and displacement. This column reports that despite a policy of free basic and secondary education, there are substantial gaps in enrolment. While younger refugees face challenges entering school and progressing once enrolled, older refugees need support returning to education after disruptions in their schooling. Well-educated refugees will be better equipped to contribute to the economy and eventually rebuild their country.

Syrian refugees in Jordan: healthcare and food security

Ensuring the health and food security of the 1.3 million Syrians seeking refuge in Jordan is critical for protecting this vulnerable population now as well as securing their future. This column reports research showing that despite food assistance programmes, they face high rates of food insecurity. In addition, low rates of health insurance among refugees are likely to create barriers to healthcare, although refugees do ultimately access care when needed.

Syrian refugees: limited participation in Jordan’s labour force

Syrian refugees in Jordan have been able to work legally with permits since 2016, yet their labour force participation remains very low. This column discusses why relatively few work permits have been used, potentially because of perceived downsides of the current system. The low employment rates and the low take-up of work permits are worrying trends for the wellbeing of refugees.

Who are the Syrian refugees in Jordan?

The conflict in Syria has created millions of refugees, including almost 1.3 million Syrians living in Jordan. This column discusses the demographics of Syrian refugees in Jordan, who are predominantly young and living in host communities. Refugees face unique documentation challenges in accessing critical services, but recent reforms have improved access and should be expanded.

Promoting better jobs for young people in Egypt

A young person’s first job has a huge impact on the rest of their working life. Today, Egyptian youth face big challenges in securing that first position. This column explains why active labour market policies are unlikely to help with the initial transition into employment. Instead, policy-makers in Egypt should focus on improving the investment climate for small firms, and creating safe and accessible jobs for young women.

Better measures of the health of Egypt’s labour market

Policy discussions about the health of Egypt’s labour market focus almost exclusively on one indicator: the unemployment rate. This column argues that the unemployment rate is a poor indicator of the cyclical performance of the economy. What’s more, it focuses attention on the plight of a very specific group of people, who are not the most vulnerable to poor labour market conditions.

Housing policy and marriage: evidence from Egypt, Jordan and Tunisia

At a time when young people in MENA countries face an increasingly protracted and difficult transition to adulthood, how can housing policy help them to marry and form independent households? This column explains how reforms to the rental housing market in Egypt helped to reverse a trend towards later marriages.

Inequality in higher education: Egypt, Jordan and Tunisia

Attainment of higher education is strikingly unequal in Egypt and Tunisia, and a little less so in Jordan. This column reports research showing that in all three countries, family background is the primary driver of inequality. Particularly in Egypt and Tunisia, public spending on higher education is regressive, with the result that what purports to be a meritocratic and equitable system in reality perpetuates inequality.

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Fair competition is needed to empower women economically in the Arab world

The participation rates of women in the labour market in Arab countries are the lowest in the world. This column argues that remedying the under-representation of women in the labour force is a social and economic imperative for the region. There are three dimensions for action to realise the potential of Arab women: amending laws and regulations; instilling fair competition in markets; and promoting the digital economy.

Recession without impact: why Lebanese elites delay reform

The survival of Lebanon’s political elites is highly dependent on the wellbeing of the economy. Why then do they delay necessary reform to avoid crisis? This column examines the role of politically connected firms in delaying much-needed economic stabilisation policies.

Competition laws: a key role for economic growth in MENA

Competition policy lacks the attention it deserves in the countries of the Middle East and North Africa (MENA), a region characterised by monopolies and lack of market contestability. As this column explains, there are many questions about the extent of anti-competitive barriers facing new market entrants in the region. What’s more, MENA’s weak overall performance on competition is likely to be hindering economic growth and the path towards structural transformation.

The Egyptian economy is still not creating good jobs

Growth in Egypt has recovered substantially since the downturn following the global financial crisis and the political instability following the 2011 revolution – but what has happened to jobs? This column reports the results on employment conditions from just released data in the 2018 wave of the Egypt Labor Market Panel Survey.

How Egyptian households cope with shocks: new evidence

Managing risks and reducing vulnerability to economic, social, environmental and health shocks enhances the wellbeing of households and encourages investment in human capital. This column explores the nature of shocks experienced by Egyptian households as well as the coping mechanisms that they use. It also examines the relationship between such risks and job formality and health status.

The future of Egypt’s population: opportunities and challenges

Egypt’s potential labour supply depends on the growth and changing composition of its working-age population. This column reports the latest data on labour supply and fertility rates, concluding that the country has a window of opportunity with reduced demographic pressures to try to address longstanding structural challenges for the labour market.

Arab countries are caught in an inequality trap

Conventional wisdom, based mainly on surveyed household income distribution statistics, suggests that inequality is generally low in Arab countries. At the same time, little attention has been devoted to social inequalities, whether in terms of outcomes or opportunities. This column introduces a forthcoming report, which offers a different narrative: based on the largest research project on the subject to date and covering 12 Arab countries, the authors argue that the region is caught in an inequality trap.

Egypt’s labour market: facts and prospects

An ERF policy conference on the Egyptian labour market in late October 2019 focused on gender and economic vulnerability. This column summarises the key takeaways from the event.

Domestic demand and competition: a new development paradigm for MENA

A lack of competition in domestic and regional markets is holding back development in the Middle East and North Africa. This column argues that the region and the international community must ensure that barriers to market entry and exit are eliminated, and that independent regulatory bodies at the national and regional levels help to promote domestic demand as the main engine for sustainable and inclusive growth.

Supporting women’s livelihoods in Egypt: opportunities and challenges

Despite the rising educational attainment of women in Egypt, their employment has declined over time and many face multiple constraints on their engagement in the labour market. This column explores ways of increasing women’s assets and economic empowerment that may ultimately lead to Egypt being as equitable in employment attitudes and practices as it is in education.