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Evaluating the Effects of Entrepreneurship
Edutainment in Egypt* Bastien Michel**
Aarhus University & TrygFonden’s Centre, PhD Fellow
Doha Evidence Symposium March 8th, 2014
*Project funded by the ILO/Youth Employment Network & Silatech
**Other researchers involved in the project are: Bruno Crépon, William Parienté, Ghada Barsoum, Drew Gardiner, Paul Dyer & Marwa Moaz
Plan
1. Background
2. Intervention
3. Methodology
4. Results
Background
Background (1/2)
High inequalities of opportunity in the labour market.
Unemployment rates in 2010:
• Overall: 9%.
• 20-24 years old: 16.6% for men and 55.8% for women.
ILOSTAT database
One of the causes for the 2011 revolution and continuing unrest in the country.
9.4 14.9
50.1
0
10
20
30
40
50
60
Egypt
Unemployment rates in Egypt,2009
Total Male (15-24) Female (15-24)
ILOSTAT
Background (1/2)
High inequalities of opportunity in the labour market.
Unemployment rates in 2010:
• Overall: 9%.
• 20-24 years old: 16.6% for men and 55.8% for women.
ILOSTAT database
One of the causes for the 2011 revolution and continuing unrest in the country.
6.2
14.6
22.3
0
10
20
30
40
50
60
Lebanon
Unemployment rates in Lebanon,2009
Total Male (15-24) Female (15-24)
ILOSTAT
Background (1/2)
High inequalities of opportunity in the labour market.
Unemployment rates in 2010:
• Overall: 9%.
• 20-24 years old: 16.6% for men and 55.8% for women.
ILOSTAT database
One of the causes for the 2011 revolution and continuing unrest in the country.
9.1
18.6 16.2
0
10
20
30
40
50
60
Morocco
Unemployment rates in Morocco,2009
Total Male (15-24) Female (15-24)
ILOSTAT
Background (1/2)
High inequalities of opportunity in the labour market.
Unemployment rates in 2010:
• Overall: 9%.
• 20-24 years old: 16.6% for men and 55.8% for women.
ILOSTAT database
One of the causes for the 2011 revolution and continuing unrest in the country.
14.2
31.4 29.3
0
10
20
30
40
50
60
Tunisia
Unemployment rates in Tunisia,2005
Total Male (15-24) Female (15-24)
ILOSTAT
Background (2/2)
What can we do about it?
Background (2/2)
What can we do about it?
According to recent survey data:
• 53.6% of young Egyptians express a preference for having their own business over a salaried job;
Population Council, 2009
Background (2/2)
What can we do about it?
According to recent survey data:
• 53.6% of young Egyptians express a preference for having their own business over a salaried job;
• Only 1.2% are self-employed due to credit constraints, a lack of business information, a lack of skills etc.
Population Council, 2009
0 10 20 30 40 50 60 70 80 90
A. I was worried about the possibility of losingmy money/ not being able to pay back my loan/
worry about loans
B. I was afraid of not being able to get enoughmoney to start my own business
D. I was afraid of not having the right skills andexperience
E. I was worried about the possibility of notmeeting licensing and regulatory requirements
F. I was worried about the possibility of beingdisadvantaged because of being a woman
G. I was worried about what my family or otherpeople would think of me if I failed
H. I was afraid of not being able to handle theworkload
I. I was afraid I would not be able to facecorruption in business (or society in general)
J. I was afraid of the strong competition in myline of business
K. I was worried that people would not haveneed for my product or service
X. Other
%
%
Background (2/2)
What can we do about it?
According to recent survey data:
• 53.6% of young Egyptians express a preference for having their own business over a salaried job;
• Only 1.2% are self-employed due to credit constraints, a lack of business information, a lack of skills etc.
Population Council, 2009
Intervention!
0 10 20 30 40 50 60 70 80 90
A. I was worried about the possibility of losingmy money/ not being able to pay back my loan/
worry about loans
B. I was afraid of not being able to get enoughmoney to start my own business
D. I was afraid of not having the right skills andexperience
E. I was worried about the possibility of notmeeting licensing and regulatory requirements
F. I was worried about the possibility of beingdisadvantaged because of being a woman
G. I was worried about what my family or otherpeople would think of me if I failed
H. I was afraid of not being able to handle theworkload
I. I was afraid I would not be able to facecorruption in business (or society in general)
J. I was afraid of the strong competition in myline of business
K. I was worried that people would not haveneed for my product or service
X. Other
%
%
Intervention
Intervention (1/2)
• Reality show, El-Mashrou3 (“The Project”)
• Concept: 14 contestants, teaches basic skills, introduces to local partners.
• Most-watched satellite TV channel in Egypt.
• Expected audience of 8-12 million individuals (IPSOS)
• Literature: Jensen and Oster (2009), La Ferrera and Chong (2009), La Ferrara, Chong and Duryea’s (2008), Berg and Zia (2013)
Intervention (2/2)
• In parallel, support activities are being implemented:
1. Show’s website: online courses, educational videos, mentoring and other services. www.elmashrou3.tv
2. Viewing parties and networking events are also being organized.
• Bridges between the show and the real world.
• Website: 1 million expected users Events: 200,000 expected beneficiaries
Methodology
Sample (1/3)
• Phone survey
• Sampling method: Random Digit Dialling
• Inclusion criteria: 1. Own a cell phone 2. Watch TV at least from
time to time 3. 18-35 years old 4. Interested in starting
their own business
Batch 1 Respondents
Batch 2 Respondents
Batch 1’s friends
Evaluation design (2/3)
• Randomized controlled trial
• Encouragement design
Batch 1’s friends
Batch 1 Respondents
Batch 2 Respondents
• Randomized controlled trial
• Encouragement design Ex.:
Evaluation design (2/3)
Batch 1’s friends
Batch 1 Respondents
Batch 2 Respondents
Evaluation design (2/3)
• Randomized controlled trial
• Encouragement design Ex.:
• Randomized at the individual level
• Stratification: gender, batch and number of friends
Batch 1 Respondents
Batch 2 Respondents
Batch 1’s friends
Outcomes (3/3)
Attitudes towards business
Soft and hard skills,
Steps taken to start a
business
Business creation
Employ- ment status
Business practices
TV Show
+
Support
Activities
Outcomes (3/3)
Attitudes towards business
Soft and hard skills,
Steps taken to start a
business
Business creation
Employ- ment status
Business practices
TV Show
+
Support
Activities
Data collected via: • Phone surveys • Face to face interviews • Partner organizations data • Administrative data
Results
Baseline
Respondents’ characteristics
• Total: 9,327 respondents
…
Baseline
Respondents’ characteristics
• Total: 9,327 respondents
• Batch: 65% batch 1 respondents & 35% batch 2 respondents
…
Baseline
Respondents’ characteristics
• Total: 9,327 respondents
• Batch: 65% batch 1 respondents & 35% batch 2 respondents
• Gender: 78% men & 22% women
…
Baseline
Respondents’ characteristics
• Total: 9,327 respondents
• Batch: 65% batch 1 respondents & 35% batch 2 respondents
• Gender: 78% men & 22% women
• Age: 27
• Education: 70% above sec. school
• Status: 34% employees,
20% self-employed
20% unemployed
12.5% engaged in home duties
• Wealth: middle-higher class
…
Baseline
Respondents’ characteristics
• Total: 9,327 respondents
• Batch: 65% batch 1 respondents & 35% batch 2 respondents
• Gender: 78% men & 22% women
• Age: 27
• Education: 70% above sec. school
• Status: 34% employees,
20% self-employed
20% unemployed
12.5% engaged in home duties
• Wealth: middle-higher class
…
Baseline
Respondents’ characteristics
• Total: 9,327 respondents
• Batch: 65% batch 1 respondents & 35% batch 2 respondents
• Gender: 78% men & 22% women
• Age: 27
• Education: 70% above sec. school
• Status: 34% employees,
20% self-employed
20% unemployed
12.5% engaged in home duties
• Wealth: middle-higher class
• No difference between T & C
…
Policy-relevant questions
• Q1. Can a mainstream TV program about entrepreneurship together with the provision of support activities change people’s life?
• Q2. Does the impact vary according to gender, age, education, employment status, etc.?
• Q3. Is the impact greater in people who identify with contestants who perform well during the show?
• Q4. Does the TV show have an impact on gender perception?
• Q5. How important are personal networks in explaining these results?
Thank you!