Using the 2018 World Bank enterprise data, this study sought to establish whether the determinants of labor productivity in the Kenyan private service sector varied with the size of the firm. Unlike previous studies that just focus on the determinants of labor productivity among manufacturing firms; this study employed the two-stage switching regressions model to correct for the firm-size effect. The findings revealed that capital intensity, employee wage, high school education, and managers' experience impacted positively and significantly on labor productivity while tax burden and power outages significantly decreased labor productivity across all firms. The differences in the determinants of labor productivity across both firms were, however, found to be negligible and insignificant. With the political uncertainty and tax burden | AMUTABI AND WAMBUGU How to cite this article: Amutabi C, Wambugu A. Determinants of labor productivity among SMEs and large-sized private service firms in Kenya.
Health forms the basic foundation of the quality of human life, which is an ultimate ingredient towards the productivity and efficiency of an economy. The rapid growth of health expenditure has emerged as an enormous concern for many households and governments globally. This study used timeseries data for the period 1985–2018 in unearthing the drivers of healthcare expenditure in Kenya, with a central focus on the role of health shocks. The study also sought to assess whether structural breaks mattered in a healthcare expenditure model. A public healthcare expenditure model was estimated using the Autoregressive Distributed Lag (ARDL) model. The findings revealed the presence of a long-run relationship between public health expenditure and its determinants in Kenya. Population growth rate and CO2 emissions (proxy to respiratory illnesses) were found to significantly and positively determine public health expenditure in the short run. This impact was insignificant in the long run. Similarly, GDP per capita and the number of HIV/AIDs infections positively and significantly determined public health expenditure in the long run. A key finding of this study highlighted the importance of testing for structural breaks in analyzing a time-series healthcare expenditure model. Previously, this is something that has been largely omitted in the Kenyan healthcare context. The structural break dummy variables significantly determined public health expenditure and, therefore, their incorporation in the model yielded a more accurate forecast with better econometric estimates. The findings will be useful in informing the government’s health budgetary allocation as well as the design of appropriate shock mitigation policies. This is paramount for the country in achieving not only Universal Health Coverage but also high-quality medical care to its citizens as envisioned in the ‘Big Four Agenda’ government priorities.
Despite the consensus on the vital role of human capital investment towards a country's socio-economic development, school enrolment levels in South Sudan remain dismal with no empirical study conducted to unravel the same. Using the 2016 South Sudan Frequency Survey data, this study sought to unravel the determinants of primary school enrolment in South Sudan with a central focus on the role of the community characteristics. The study also aimed at exploring the disparities in primary school enrolment along the gender and employment perspective lens. The probit model findings revealed that the more time is taken in accessing a primary school, hospital, or food outlet facilities, the lower the probability of a child enrolling in school. School enrolment levels were found to be highest in the Central Equatoria state but lowest in the Lakes state. Furthermore, wide employment and gender differentials in school enrolment rates exist with boys being accorded more preferences than girls. Gender sensitization at the household, community, and state levels as well as the subsidization of primary education are vital in incentivizing parents to enroll their children in school. Similarly, high investment in better infrastructural facilities would ensure schools, hospitals, and water sources are within the reach of school-going children.
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