Espino, Emilio; González Rozada, Martín - 2013
: informal sector is quantitatively significant and tax-collecting technologies are more rudimentary. We characterize competitive … determined, some workers can be hired in the informal market, and imperfect tax-collecting technology can be heterogeneous across … approximately (from 19 percent to 28 percent). As expected, the better the tax collecting technologies, the higher the corresponding …