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. Policymakers should consider the links between inequality and informality because badly designed informality-reducing policies may …Higher inequality reduces capital accumulation and increases the informal economy, which creates additional employment … distribution by providing sources of income for unemployed and marginalized workers. Despite this positive feedback, informality …
Persistent link: https://www.econbiz.de/10013254304
a MIMIC Base Model using a data set composed by 41 countries in LAC, in which both inequality and total factor … with the literature. When compared with a model using data from 188 countries, inequality has an impact ten-fold higher in … the level of informality. Results suggest the importance of tailored data set selection when modelling IE with MIMIC. …
Persistent link: https://www.econbiz.de/10014285538
This paper documents an inverse U-shape in the evolution of wage inequality in Latin America since 1995, with a sharp … for the process of reduction in inequality, but do not fully account for the fall in within-skill variance. Evidence using …
Persistent link: https://www.econbiz.de/10012052155
wages, and declining labor informality, a confluence of factors that reduced earnings inequality. In the aftermath of the …Latin American countries have some of the highest levels of income inequality in the world. However, earnings … inequality significantly changed over the last three decades, increasing during the 1980s and 1990s, declining sharply in the …
Persistent link: https://www.econbiz.de/10013286576
Minimum wage (MW) policies are widespread in the developing world and yet their effects are still unclear. In this paper we explore the effect of national MW policies in Latin America’s six largest economies by exploiting the heterogeneity in the bite of the national minimum wage across local...
Persistent link: https://www.econbiz.de/10014466614
Working as a volunteer is a widespread phenomenon that has both individual and societal benefits. In this paper, we identify the wage returns to working for free by exploiting exogenous variation in rainfall across local area districts in England, Scotland and Wales. Instrumental variables...
Persistent link: https://www.econbiz.de/10010204510
Using information from all IMF conditionality programs from 1990 to 2018, we implement a dynamic Augmented Inverse Probability Weighting Regression Adjustment approach to examine the effects of programs, including public sector dismissals, on the size of the shadow economy. The estimated effect...
Persistent link: https://www.econbiz.de/10014332129
opportunities to enter the formal sector meaning informal employment is the only feasible option. Reducing informality requires …
Persistent link: https://www.econbiz.de/10013254477
Most micro, small, and medium-sized enterprises (MSMEs) operate informally. While informal sectors are thought to contribute less to national economic development, MSMEs are a driving force behind national economic growth. Thus, formalizing informal MSMEs is critical to boosting national...
Persistent link: https://www.econbiz.de/10013169131
Persistent link: https://www.econbiz.de/10013367933