The purpose of the article is to assess the relationship between employment intensity and sectoral output growth, in order to examine whether an economic sector was jobless or created more jobs.
Using panel data for 10 sectors over the period 1983–2010 for three Middle Eastern (Egypt and Jordan) and North African countries (Tunisia), the authors estimate employment value-added elasticities at the sectoral level, using a random coefficient estimation technique.
The main findings show that while manufacturing is the most important sector for creating jobs in Egypt, services are more important in Jordan and Tunisia.