Policies to Nationalize the Private Sector Labor Force in a Matching Model with Public Jobs and Quotas

Abstract

Gulf Cooperation Council (GCC) countries aim to employ more of their nationals in the private sector to absorb the inflow of new entrants into the labor force. They have put in place workforce nationalization policies to revert two peculiar features of their labor markets: the preference of nationals for public sector careers, and the crowding out of nationals by expatriate workers in the private sector.