This paper evaluates the effects of a fall in payroll taxes on employment and wages in the presence of high labor informality. For that purpose, the paper examines a recently approved tax reform in Colombia especially targeted to promote labor formality. The model suggests that the reform would...

This paper evaluates critically the neo-liberal perspective which contends that informal employment results from high taxes, public sector corruption and too much state interference in the free market and that the consequent remedy is to reduce taxes, public sector corruption and the regulatory...

For much of the previous century, the informal sector was largely represented as a residue of a previous mode of production confined to marginal populations and gradually disappearing due to the inevitable and natural shift towards the formal economy across the globe. Over the past quarter of a...

This article reveals that formal labour markets in the European Union are not always quite as pure, wholesome and legitimate as might be supposed. Until now, it has been commonly assumed that the formal economy is separate and discrete from the informal economy. To contribute to the emerging...

This paper evaluates critically the contrasting theories of informal employment that variously read this sector as a leftover of pre-capitalism, a by-product of a new emergent form of capitalism, a complement to formal employment or an alternative to the formal economy. Until now, a common...

This paper evaluates critically the argument of neo-liberals that informal employment is a result of high taxes, public sector corruption and too much state interference in the free market and that the consequent solution is to reduce taxes, public sector corruption and the regulatory burden via...

Objective: The article aims to indicate the determinants of informal employment in registered enterprises using company-level evidence from Poland. Research Design & Methods: The survey conducted among Polish small and medium-sized (SME) enterprises in 2018 was used to find the driving forces of...

The paper performs both a parametric and non-parametric analysis to address a fundamental question in the growing literature using search models to study labor market informality: should informal self-employment and informal employment as employee be considered two different labor market states?...

Purpose – This paper aims to evaluate the use of personal connections to circumvent formal procedures, known as blat in the Soviet era, in post-Soviet societies by studying its role in graduate employment recruitment. Design/methodology/approach – To do this, the extent to which and how blat...