"Labour Exclusion and Informality in a Latin American country, a Latent Class model approach " Jorge Davalos OIT Oficina Regional Jornadas sobre Análisis del Mercado Laboral, 2013 1 / 20
Labour Exclusion and Informality in a Latin American country Motivation The Model The Econometric Model Results Concluding Remarks Labour Exclusion and Informality in a Latin American country 2 / 20
Motivation Labour Exclusion and Informal Employment ( ILO’s perspective ): Informality in a Latin American country Motivation The Model The Econometric Model Results Concluding Remarks 3 / 20
Motivation Labour Exclusion and Informal Employment ( ILO’s perspective ): Informality in a Latin American country Motivation Informal jobs are those whose labour status is not clearly defined, like The Model undeclared labour lacking of social benefits or at poor working conditions The Econometric Model Results Concluding Remarks 3 / 20
Motivation Labour Exclusion and Informal Employment ( ILO’s perspective ): Informality in a Latin American country Motivation Informal jobs are those whose labour status is not clearly defined, like The Model undeclared labour lacking of social benefits or at poor working conditions The Econometric Model Results Concluding Remarks Argentina Bolivia Brazil Colombia Costa Rica Dominican Republic Ecuador El Salvador Guatemala Honduras Mexico Nicaragua Panama Paraguay Peru Uruguay Venezuela, Bolivarian Republic of 0 20 40 60 80 Informal Employment (last available indicator in %) 3 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry, Maloney, Arias, Fajnzylber, Mason & Saavedra-Chanduvi (2007) 4 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry et al. (2007) 4 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry et al. (2007) 4 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry et al. (2007) 4 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry et al. (2007) 4 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry et al. (2007) 4 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry et al. (2007) 4 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry et al. (2007) 4 / 20
Motivation Classical view . Informality is the result of segmentation i.e. exces of labour supply � (Harris & Todaro 1970). Workers have no choice than to create an "informal" market ! New Evidence: Informality may also be a voluntary status � Dickens & Lang (1985),Magnac (1991) � The World Bank: � +Mondino & Montoya (2002),Maloney (1999), Saavedra & Chong (1999) + Perry et al. (2007) 4 / 20
Motivation The drawbacks → challenges: Labour Exclusion and Informality in a Latin American country Exit or Exclusion are explained by different theoretical approaches � Motivation Hard to (empirically) identify excluded from non excluded informals The Model � The Econometric Model (subjective surveys and only a few exist) Results Concluding Remarks + This paper’s methodology explains/proposes : How an existing unifying theoretical framework may nest both (exit and � exclusion) An econometric model for classification based on widely available data � (Household surveys) 5 / 20
Motivation The drawbacks → challenges: Labour Exclusion and Informality in a Latin American country Exit or Exclusion are explained by different theoretical approaches � Motivation Hard to (empirically) identify excluded from non excluded informals The Model � The Econometric Model (subjective surveys and only a few exist) Results Concluding Remarks + This paper’s methodology explains/proposes : How an existing unifying theoretical framework may nest both (exit and � exclusion) An econometric model for classification based on widely available data � (Household surveys) 5 / 20
Motivation The drawbacks → challenges: Labour Exclusion and Informality in a Latin American country Exit or Exclusion are explained by different theoretical approaches � Motivation Hard to (empirically) identify excluded from non excluded informals The Model � The Econometric Model (subjective surveys and only a few exist) Results Concluding Remarks + This paper’s methodology explains/proposes : How an existing unifying theoretical framework may nest both (exit and � exclusion) An econometric model for classification based on widely available data � (Household surveys) 5 / 20
Motivation The drawbacks → challenges: Labour Exclusion and Informality in a Latin American country Exit or Exclusion are explained by different theoretical approaches � Motivation Hard to (empirically) identify excluded from non excluded informals The Model � The Econometric Model (subjective surveys and only a few exist) Results Concluding Remarks + This paper’s methodology explains/proposes : How an existing unifying theoretical framework may nest both (exit and � exclusion) An econometric model for classification based on widely available data � (Household surveys) 5 / 20
Motivation The drawbacks → challenges: Labour Exclusion and Informality in a Latin American country Exit or Exclusion are explained by different theoretical approaches � Motivation Hard to (empirically) identify excluded from non excluded informals The Model � The Econometric Model (subjective surveys and only a few exist) Results Concluding Remarks + This paper’s methodology explains/proposes : How an existing unifying theoretical framework may nest both (exit and � exclusion) An econometric model for classification based on widely available data � (Household surveys) 5 / 20
Motivation The drawbacks → challenges: Labour Exclusion and Informality in a Latin American country Exit or Exclusion are explained by different theoretical approaches � Motivation Hard to (empirically) identify excluded from non excluded informals The Model � The Econometric Model (subjective surveys and only a few exist) Results Concluding Remarks + This paper’s methodology explains/proposes : How an existing unifying theoretical framework may nest both (exit and � exclusion) An econometric model for classification based on widely available data � (Household surveys) 5 / 20
Recommend
More recommend
