Employment Growth Rate and Economic Growth Rate in Uganda (1990-2016)

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TABLE OF CONTENTS

DECLARATION ii

APPROVAL iii

DEDICATION iv

LIST OF ACRONYMS v

ACKNOWLEDGEMENT Vi

TABLE OF CONTENTS vii

ABSTACT x

CHAPTER ONE

1 .0 Introduction

.1 Background of the study

1 .2 Statement of the Problem 3

1.3 Purpose of the Study 3

1.4 Objectives of the Study .1

1 .4.1 General objective 4

1 .4.2 Specific objectives 4

1.5 Research questions 4

1 .6 Research hypothesis 4

1.7 Scope of the study 4

1 .7.1 Geographical scope 4

1.7.2 Content scope 5

1 .7.3 Time scope 5

1.8 Significance of the Study 5

1 .9 Conceptual Framework 6

1.10 Definition of Key terms (~

CHAPTER TWO 8

LITERATURE REVIEW 8

2.0 Introduction 8

2.1 Concepts, opinions, ideas on employment growth rate and economic growth rate 8

2.1.1 Employment growth rate 8

2.1.2 Economic growth rate 10

2.2 Theoretical framework 12

2.3 Relationship between Employment growth rate and Economic Growth Rate 13

2.4 Related studies on relationship between Employment growth rate and Economic Growth

Rate 15

CHAPTER THREE 17

METHODOLOGY 17

3.0 Introduction I 7

3.1 Research design I 7

3.2 Research population and sample size 17

3.3 Data sources 17

3.4 Data analysis 18

3.5 Ethical considerations 18

3.6 Limitations of the study 1 8

CHAPTER FOUR 19

DATA PRESENTATION, ANALYSIS AND INTERPRETATION 19

4.0 Introduction 19

4.1 Summary statistics 19

4.2 Tests statistics 20

4.2.1 Z-Test 20

4.2.2 t-Test 21

4.2.3 F-distribution 22

4.3 The level of growth of employment of Uganda from 1990 to 2016 23

4.4 The level ofeconomic growth of Uganda from 1990 to 2016 24

4.5 Relationship between employment and economic growth of Uganda in the period from

1990to2016 25

4.5.1 Normality test 27

4.5.2 Scatter plot 29

CHAPTER FIVE 30

DISCUSSION, CONCLUSIONS AND RECOMMENDATIONS

5.0 Introduction

5.1 Discussion of findings of the study 30

5.1.1 Level of growth of employment between 1990 to 2016 30

5.1.2 Level of growth of GDP from 1990 to 2016 31

5.1.3 Relationship between employment growth rate and GDP growth rate in the period

between 1990 to 2016 31

5.2 Conclusion .32

5.3 Recommendations 32

REFERENCES 34

APPENDICES 37

APPENDIX I: DATA OBTAINED FROM THE BANK OF UGANDA WEBSITE 37

ABSTRACT The study investigated the impact of employment growth rate on economic growth from 1990 -2016. The guiding objectives were; to establish the level of employment growth of Uganda, establish the !evel of economic growth of Uganda and establish the relationship between ëm~loymeñt.anci economic growth using data frOm Bank of U~ahda database. The research approach of this study was quantitative. The study employed descriptive design because it aimed at describing the situation regarding economic growth rate and employment rate in the understated period. The Z-test indicated that most of Z-results of economic growth rate were negative and thus they were below the group mean. However, there were also z-results that were positive hence were above the group mean. Furthermore the study results above indicate that there were no z-results with value of 0, none was equal to the group mean. The t-test indicated that there are 27 observations (N), the mean value of employment growth is 5.6185 whereas mean value of economic growth is 6.5107. F-value of Employment growth stood at 4.675 whereas the F-value of Economic growth is 1.192 implying that F-value of employment growth is greater than that of economic growth. Normality test indicated that the probabilities are greater than 0.05 (the typical alpha level), hence accepting the hypothesis that these data are not different from normal. As the sample size increases, normality. parameters become more restrictive and it becomes harder to declare that the data are normally distributed. The scatter plot further revealed that P 0.689, R2 =0.230 at level of significance of 0.000, it indicates that there is a strong positive significant relationship between employ ment gro\~ th and economic growth. I3as I ng on the finding of the study, the researcher coneludçs that there wasa positive significant rel4tion between employment growth rate and economic growth rate in Uganda for period (1990 - 2016). The researcher recommends the country should consider supporting Uganda’s manpower through impressing technology (adopting capital intensive techniques of production) rather than labour intensive techniques of production to support the growing population that would be involved actively in productive work in the country.

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Employment Growth Rate and Economic Growth Rate in Uganda (1990-2016)

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