IMF Working Papers

This paper analyzes the link between digitalization and intergenerational occupational mobility in Africa. We use a probit model estimated on a large sample of 28 million individuals aged 14 and higher and co-residing with at least one individual from the older generation. We find that digitalization could help boost upward mobility and limit the risks of downward occupational mobility, thereby improving job opportunities. While strong institutions, political and social stability, better access to adequate digital infrastructure, and education are important to increase and accelerate upward mobility, new technologies and digital tools can intensify these positive effects and contribute to creating jobs and enhancing living standards in Africa. Similar results hold for downward mobility.