Too often, academics and policy makers interpret formality as a binary choice and formalization as an irreversible process. Yet, formalization has many facets and shades on the business and labor fronts, and firms may not be able or willing to formalize all at once. This paper explores the joint...

Too often, academics and policy makers interpret formality as a binary choice and formalization as an irreversible process. Yet, formalization has many facets and shades on the business and labor fronts, and firms may not be able or willing to formalize all at once. This paper explores the joint...

Adverse health shocks tend to have a strong impoverishing consequence over the large portions of uninsured individuals in poor countries, which is in turn associated with the magnitude of the informal economy. Sickness or accidents as well as regular life cycle events such as old age may imply...