Margherita Tambussi (University of Turin)
This paper examines the impact of the October 31st, 2015 terrorist attack against tourists in Egypt on the local labor market within the tourism sector. Using the Quarterly Labor Force Survey, I consider social security coverage as a proxy for formal employment. The analysis finds that the attack led to a temporary decline in both overall employment and formal employment in the tourism sector, with no significant impact on informal employment. As a mechanism that may explain this negative relationship, I propose a labor market adjustment driven by the different coping strategies of employees and self-employed workers within the tourism sector.