Arbeitspapier

Is there an informal employment wage penalty? Evidence from South Africa

We estimate the wage penalty associated with working in the South African informal sector. To this end we use a rich data set on non-self employed males that allows one to accurately distinguish workers employed in the informal sector from those employed in the formal sector and link individuals over time. Implementing various econometric approaches we find that there is a gross wage penalty of a little over 18 per cent for working in the informal sector. However, once we reduce our sample to a group for which we can reasonably calculate earnings net of taxes and control for time invariant unobservables the wage penalty disappears.

Sprache
Englisch

Erschienen in
Series: IZA Discussion Papers ; No. 3151

Klassifikation
Wirtschaft
Wage Level and Structure; Wage Differentials
Thema
Informal sector
wage penalty
South Africa
Lohnstruktur
Informeller Sektor
Südafrika

Ereignis
Geistige Schöpfung
(wer)
Badaoui, Eliane
Strobl, Eric
Walsh, Frank A.
Ereignis
Veröffentlichung
(wer)
Institute for the Study of Labor (IZA)
(wo)
Bonn
(wann)
2007

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Badaoui, Eliane
  • Strobl, Eric
  • Walsh, Frank A.
  • Institute for the Study of Labor (IZA)

Entstanden

  • 2007

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