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%T Job recruitment networks and migration to cities in India %A Iversen, Vegard %A Sen, Kunal %A Verschoor, Arjan %A Dubey, Amaresh %J Journal of Development Studies %N 4 %P 522-543 %V 45 %D 2009 %K employment and law; South Asia; social capital; social issues; economics %= 2010-09-17T10:28:00Z %~ http://www.peerproject.eu/ %> https://nbn-resolving.org/urn:nbn:de:0168-ssoar-134718 %X Economists have focused on job search and supply-side explanations for network effects in labour transactions. We develop and tests an alternative explanation for the high prevalence of network-based labour market entry in developing countries. In our theoretical framework, employers use employee networks as screening and incentive mechanisms to improve the quality of recruitment. Our framework suggests a negative relationship between network use and the skill intensity of jobs, a positive association between economic activity and network use and a negative relationship between network use and pro-labour legislation. Social identity effects are expected to intensify compared to information-sharing and other network mechanisms. Using data from an all-India Employment Survey we implement a novel empirical strategy to test these relationships and find support for our demand-side explanation. %C GBR %G en %9 journal article %W GESIS - http://www.gesis.org %~ SSOAR - http://www.ssoar.info