Self-employment, wage employment and informality in a developing economy

Arbeitspapier

We construct a simple model incorporating various urban labour market phenomena obtaining in developing economies. Our initial formulation assumes an integrated labour market and allows for entrepreneurship, self-employment and wage employment. We then introduce labour market segmentation. In equilibrium voluntary and involuntary self-employment, formal and informal wage employment, and formal and informal entrepreneurship may all coexist. We illustrate the model by an example calibrated on Latin American data, examining individual labour market transitions and implications of education/training and labour market policies. To diminish informality, cutting the costs of formality is more effective than raising those of informality.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: IZA Discussion Papers ; No. 6406

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Formal and Informal Sectors; Shadow Economy; Institutional Arrangements ; Labor Demand
• Thema: self-employment ; wage employment ; informality ; Städtischer Arbeitsmarkt ; Selbstständige ; Arbeitskräfte ; Schwarzarbeit ; Unternehmer ; Informeller Sektor ; Arbeitsmarktsegmentierung ; Theorie ; Lateinamerika

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Bennett, John ; Rablen, Matthew D.
• Ereignis: Veröffentlichung
• (wer): Institute for the Study of Labor (IZA)
• (wo): Bonn
• (wann): 2012

Weitere Informationen

• Handle: http://hdl.handle.net/10419/58493
• URN: urn:nbn:de:101:1-201206146915
• Letzte Aktualisierung: 10.03.2025, 11:42 MEZ