Cambodia's growth in the last 20 years has been remarkable and the lives of its people have improved substantially. But low-cost labour advantages on a narrow economic base have driven this growth. The country now needs to move beyond the four sectors that have dominated its economy: garment...

Using data from Sierra Leone, I explore the role of cognitive ability in sorting across sectors and the importance of perceptions in the employment decision-making process. Crucial to the analysis is the introduction of the aid-industry/development sector as a 'third sector', which is shown to...