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Wages and informality in developing countries

Authors: Costas Meghir , Renata Narita and Jean-Marc Robin
Date: 19 August 2011
Type: Mimeo,


Informal labour markets are a standard characteristic of labour markets in developing countries. It is often argued indeed that they are the engine of growth because their existence allows firms to operate in an environment where wage and regulatory to other papers which consider two sectors such as Albrecht, Navarro and Vroman (2009) and Bosch (2006). Our empirical analysis uses Brazilian labour force surveys. Finally, we use the model to discuss the relative merits of alternative policies towards informality.

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Now published:
Costas Meghir, Renata Narita and Jean-Marc Robin April 2015, Wages and informality in developing countries, Journal article, American Economic Association

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