Arbeitspapier

Is there an informal employment wage premium? Evidence from Tajikistan

This paper defines informal sector employment and decomposes the difference in earnings distributions between formal and informal sector employees in Tajikistan for 2007. Using the quantile regression decomposition technique proposed by Machado and Mata (2005), we find a significant informal employment wage premium across the whole earnings distribution. This contrast with earlier studies and casts doubt on the recent literature showing that the informal sector is poorly rewarded. It seems to be the case that the informal employment in Tajikistan is the main source of income.

Language
Englisch

Bibliographic citation
Series: IZA Discussion Papers ; No. 6727

Classification
Wirtschaft
Semiparametric and Nonparametric Methods: General
Labor Force and Employment, Size, and Structure
Wages, Compensation, and Labor Costs: General
Subject
formal/informal employment
quantile regression decomposition
Lohnstruktur
Informeller Sektor
Schwarzarbeit
Schätzung
Tadschikistan

Event
Geistige Schöpfung
(who)
Arabsheibani, Gholam Reza
Staneva, Anita V.
Event
Veröffentlichung
(who)
Institute for the Study of Labor (IZA)
(where)
Bonn
(when)
2012

Handle
Last update
10.03.2025, 11:44 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Arabsheibani, Gholam Reza
  • Staneva, Anita V.
  • Institute for the Study of Labor (IZA)

Time of origin

  • 2012

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