The transition from a command economy in the FSU resulted in increasedactivities in the informal sector. However despite prevalent delays in wagepayments many workers were still observed to be working full-time in theformal sector. Here a model of workers' labour supply decisions...

In the past few years the informal sector in countries in transition hasincreasingly become the focus of research, public policy and the media.The term ‘informal sector’ has been used to describe an extremely widespectrum of activities, which do not necessarily have much in common,such as...