We divide workers into six work statuses: formal self-employed, upper-tier informal self-employed, lower-tier informal self-employed, formal wage-employed, upper-tier informal wage-employed, and lower-tier informal wage-employed. In both Costa Rica and Nicaragua, earnings are highest for formal...

Informal work is often considered a place of employment for marginalized and vulnerable workers who have been rationed out of preferred formal work. However, informality can also be seen as a dynamic sector that budding entrepreneurs and those looking for flexible working conditions enter...

We study the labour market dynamics of men and women in El Salvador and Nicaragua, focusing on the factors that help men and women move into an advantageous labour market state from an unfavourable state. We consider 'advantageous' states to be formal salaried employees and self-employed workers...