A range of alternative empirical definitions of informal activity have been employed in the literature. Choice of definition is often dictated by data availability. Different definitions may imply very different conceptual understandings of informality. This paper investigates the degree of...

Extant evidence that the self-employed overestimate their returns by more than employees do is consistent with two mutually inclusive possibilities. Self-employment may generate optimism or optimists may be drawn to self-employment. This paper finds that employees who will be self-employed in...

This paper defines informal sector employment and decomposes the difference in earnings between formal and informal sector employees in Tajikistan for 2007. Using quantile regression decomposition technique proposed by JAE, 20:445-465, 2005 and considering self-selection of individuals into...

We use data from the Kazakhstan Labour Force Survey (KLFS) for the period 2006-2011 to examine factors that determine informality amongst self-employed men and women. In addition, the paper examines the response of informality propensities to the recent global crisis. The decomposition suggests...

This paper examines rates of return to schooling in Kazakhstan using OLS and instrumental variable (IV) methodologies. We use spouse's education and smoking as instruments. We find that spouse's education is a valid instrument and that conventional OLS estimates that assume the exogenous nature...

This paper uses quantile regression techniques to analyze heterogeneous patterns of return to education across the conditional wage distribution in four transition countries. We correct for sample selection bias using a procedure suggested by Buchinsky (2001), which is based on a Newey (1991,...

In the UK by late 2014 there were almost 0.75m more self-employed than at the start of the financial crisis in early 2008. This represents over 75% of jobs growth in the UK over the same period. This experience has attracted commentary from independent policy analysts and others, focusing on...

Developing further the accumulating evidence that self-employment attracts optimists, this paper investigates the relationship between earnings and prior optimism. It finds that self-employed optimists earn less than self-employed realists. Amongst employees, optimists earn more. These results...

This paper provides a quantitative investigation of the strength of the potential relationship between entrepreneurial activity and religious affiliation. The relationship between religion and economic development has attracted recent attention. A positive association may indicate that religion...

Only a minority of micro-businesses create jobs for others. This paper addresses whether personal characteristics and resources of the microbusiness owner or the local external economic environment are drivers of job creation. In the UK context of significant growth in self-employment but a...