117 results on '"INFORMAL sector"'
Search Results
2. Modeling the Cigarette Consumption of Poor Households Using Penalized Zero-Inflated Negative Binomial Regression with Minimax Concave Penalty.
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Andriyana, Yudhie, Fitriani, Rinda, Tantular, Bertho, Sunengsih, Neneng, Wahyudi, Kurnia, Mindra Jaya, I Gede Nyoman, and Falah, Annisa Nur
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CONSUMPTION (Economics) , *POOR people , *POISSON regression , *INFORMAL sector , *CIGARETTES - Abstract
The cigarette commodity is the second largest contributor to the food poverty line. Several aspects imply that poor people consume cigarettes despite having a minimal income. In this study, we are interested in investigating factors influencing poor people to be active smokers. Since the consumption number is a set of count data with zero excess, we have an overdispersion problem. This implies that a standard Poisson regression technique cannot be implemented. On the other hand, the factors involved in the model need to be selected simultaneously. Therefore, we propose to use a zero-inflated negative binomial (ZINB) regression with a minimax concave penalty (MCP) to determine the dominant factors influencing cigarette consumption in poor households. The data used in this study were microdata from the National Socioeconomic Survey (SUSENAS) conducted in March 2019 in East Java Province, Indonesia. The result shows that poor households with a male head of household, having no education, working in the informal sector, having many adult household members, and receiving social assistance tend to consume more cigarettes than others. Additionally, cigarette consumption decreases with the increasing age of the head of household. [ABSTRACT FROM AUTHOR]
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- 2023
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3. Consumer Demand for Milk and the Informal Dairy Sector Amidst COVID-19 in Nairobi, Kenya.
- Author
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Alonso, Silvia, Angel, Moira Donahue, Muunda, Emmanuel, Kilonzi, Emily, Palloni, Giordano, Grace, Delia, and Leroy, Jef L.
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INFORMAL sector , *CONSUMPTION (Economics) , *COVID-19 , *MILK consumption , *FOOD supply - Abstract
Background: The coronavirus disease 2019 (COVID-19) pandemic has had large negative effects on countries' economies and individual well-being throughout the world, particularly in low- and middle-income countries. Pandemic-related changes in behavior and government restrictions in Kenya may have negatively affected food supply chains and household food access; however, the empirical evidence is currently limited. Objectives: The study explored changes in informal milk markets, dairy consumption, and food insecurity among low-income households in urban and periurban Nairobi, Kenya, following the start of the COVID-19 pandemic in the country. Methods: Baseline data on milk sales and consumption were collected in late 2019 from dairy vendors operating in the informal sector and their dairy customers. We conducted 2 longitudinal telephone surveys with the same study participants in July and September--October 2020, respectively. Results: At the first follow-up, the volume of milk sold by informal vendors had dropped by 30% compared with their baseline level, and the volume of milk from informal markets consumed by households decreased by 23%. By the second follow-up, the volume of milk sold and consumed had recovered somewhat but remained lower than the volume observed 1 y prior in the same season. Large reductions in the consumption of other animal--sourced products were also observed. The rate of food insecurity increased by 16 and 11 percentage points in the first and second follow-up periods, respectively, compared with baseline. Conclusions: The evidence, therefore, suggests that the timing of the pandemic and the related restrictions were associated with a decrease in the supply and consumption of milk from informal markets in Nairobi and a decrease in the food security of periurban consumers. [ABSTRACT FROM AUTHOR]
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- 2023
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4. The role of shadow economy to determine CO2 emission in Pakistan: evidence from novel dynamic simulated ARDL model and wavelet coherence analysis.
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Ahad, Muhammad and Imran, Zulfiqar Ali
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INFORMAL sector ,WAVELETS (Mathematics) ,REAL estate investment ,CONSUMPTION (Economics) ,ENVIRONMENTAL degradation ,COINTEGRATION - Abstract
In the race of economic development, the environment is compromising, especially in developing countries. Literature has highlighted many factors that have been causing CO
2 emissions. The identification of factors behind environmental degradation is important to control them for a sustainable environment. In this regard, this study also identifies the role of the shadow economy for CO2 emission in the case of Pakistan. Furthermore, the impact of official/formal, GDP and true/actual GDP are also checked on CO2 emission function along with energy consumption and urbanization in Pakistan. The annual time series data from 1972 to 2018 is utilized. A novel dynamic autoregressive distributed lag simulation is employed to confirm the existence of cointegration. Moreover, this novel approach also estimates, stimulates, and plots to show a positive and negative change in variables on graphs. The estimated results confirm the long-run association between CO2 emission and its determinants in the case of Pakistan. A positive and significant impact of shadow, official and true GDP along with energy consumption and urbanization illustrate that shadow economy is contributing toward urbanization via huge investment in real estate that leads to higher urbanization which further increases the energy consumption particularly nonrenewable energy, natural gas, and coal consumption. Government and policymakers should introduce new controls and strengthen the existing ones to control CO2 emission via a decrease in the size of the shadow economy. Moreover, unplanned and irregular urbanization should be regular and documented to control illegal/shadow activities, hence, decreasing the nonrenewable energy consumption. [ABSTRACT FROM AUTHOR]- Published
- 2023
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5. Informalized containment: food markets and the governance of the informal food sector in Windhoek, Namibia.
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Kazembe, Lawrence N, Nickanor, Ndeyapo, and Crush, Jonathan
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INFORMAL sector ,STREET food ,FOOD marketing ,URBAN poor ,CONSUMPTION (Economics) ,CONSUMER profiling - Abstract
Policy responses to the growth of the informal food sector in African cities vary from benign neglect to active destruction. The eradication of street food vending is the dominant mode of governance. Alternative approaches that recognize the inevitability of informality and the role of the sector in making food accessible to the urban poor have begun to emerge. One is an enclose-and-contain model that creates spaces for trading and seeks to confine trading to these spaces through active policing. This strategy has been pursued in Windhoek, Namibia but has been compromised by consumer demand, which is not satisfied by the city's approved markets, and by the actions of street traders who cluster at key locations and force tacit official recognition. This paper examines the origins and development of the resulting hybrid model of informalized containment, as well as the profile of consumers who patronize both types of markets. [ABSTRACT FROM AUTHOR]
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- 2019
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6. The work of shopping: Resellers and the informal economy at the goodwill bins.
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Ayres, Jennifer
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THRIFT shops ,INFORMAL sector ,SHOPPING ,CONSUMPTION (Economics) ,PRODUCTION (Economic theory) ,CAPITALISM - Abstract
In this article, I examine the material and everyday practices of a community of thrift-shoppers at the Goodwill Bins. Their practices reveal that shopping in these cutthroat environments is anything but leisurely. By attending to how these spaces are utilised as resources for independent ventures in the informal economy, I show how the occupation of reselling blurs the lines between consumption and production, and shopping and work. I argue that the thrift store can be viewed as a microcosm of the broader shifts occurring in the economy and the latest capitalist reorganisation of work into non-standard and precarious forms. [ABSTRACT FROM AUTHOR]
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- 2019
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7. A Consumer Expenditure Approach to Estimating the Size of the Underground Economy.
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McCrohan, Kevin F. and Smith, James D.
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INFORMAL sector ,ECONOMIC sectors ,CONSUMPTION (Economics) ,MARKETING research ,CONSUMER behavior research ,ECONOMIC indicators ,CONSUMER research ,ECONOMIC structure ,INCOME - Abstract
This research was designed to reveal the magnitude of consumer use of informal suppliers, in order to determine the level of unmeasured or "underground" economic activity in the U.S. economy. The results of this study are based on a national probability sample of households which reported their purchases across 15 broad categories of goods and services. The authors conclude that consumers' use of suppliers in the underground economy accounts for a very minor portion of consumer expenditures. [ABSTRACT FROM AUTHOR]
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- 1986
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8. Energy Consumption as an Indicator of Hidden Economy: Comparative Analysis.
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Novkovska, Blagica and Dumičić, Ksenija
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ENERGY consumption ,ECONOMIC indicators ,CONSUMPTION (Economics) ,INFORMAL sector ,COMPARATIVE studies ,DEVELOPING countries - Abstract
Background: Hidden economy presents a major concern for all national economies, particularly for those of developing countries. Objectives: In this work, methods for determination of the size of hidden economy are discussed. Particular attention is devoted to the methods using electricity consumption as an indicator (the Lackó method and the Kaufmann and Kaliberda method). Methods/Approach: The modified Lackó method adapted for a single country and the sophisticated Kaufmann and Kaliberda method have been used. Results: It has been shown that such methods are effective in measurement of the hidden economy extent in small open economies exposed to severe external influences. The article presents results for Macedonia and their comparison with results for Croatia, as a good role-model for other states in Western Balkans. Conclusions: Model methods involving energy consumption are particularly efficient in determination of the size of the hidden economic sector in small open economies as those of the Western Balkan countries. [ABSTRACT FROM AUTHOR]
- Published
- 2018
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9. Income shocks, informal insurance mechanisms, and household consumption expenditure.
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Ajefu, Joseph Boniface
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ECONOMIC shock ,INFORMAL sector ,COST of living ,CONSUMPTION (Economics) ,HOUSEHOLD surveys - Abstract
Purpose The purpose of this paper is to examine the effect of income shocks on household real consumption expenditure, taking into account the various informal coping strategies adopted by the households. Using Nigerian Household Panel Survey data for the year 2010/2011 and 2012/2013 respectively, and probit model estimation approach, the results suggest that idiosyncratic shocks have effect on household consumption expenditure and the informal insurance strategies play only limited roles in providing the needed insurance to households in the face of shocks. Also, the effect of shocks vary according to households characteristics, which depends on whether the household is headed by male or female and urban or rural dweller.Design/methodology/approach This paper explores the fixed effects and probit model estimation approach to examine the relationship between the effect of covariate and self-reported idiosyncratic shocks on household welfare. The study examines the effectiveness of the various informal coping measures adopted by households against shocks.Findings The results suggest that idiosyncratic shocks have been found to have little effect on real consumption expenditure and the informal insurance strategies play only limited roles in providing the much needed insurance to households in the face of shocks. Also, the effect of shocks vary according to households characteristics, whether the household is headed by male or female and urban or rural dweller is important.Originality/value The novelty of this essay is to investigate the relationship between variation in self-reported shocks to income across households and real consumption expenditure in Nigeria – a poor, risk-prone country – considering also, the ease with which households adopt the various risk-coping strategies, which help them in smoothing consumption over time. [ABSTRACT FROM AUTHOR]
- Published
- 2017
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10. Alat Analisis Strategi Bertahan Hidup Sektor Informal Perkotaan Selama Pandemi Covid-19: Review Literatur
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Adha Fathiah and M.Akmal Farraz
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Consumption (economics) ,Economic growth ,Government ,Informal sector ,Debt ,media_common.quotation_subject ,Economic recovery ,Public policy ,Subsistence economy ,Business ,Diversification (marketing strategy) ,media_common - Abstract
The covid-19 pandemic has damaged the structure of the global economy, including Indonesia. Government policies that are stuttering and inconsistent between handling health or economic recovery have resulted in their implementation being not optimal and having a significant impact on economic actors in the informal sector. As a result, informal workers need to make efforts to survive amid the crisis. Based on a literature review, this article presents analytical concepts for analyzing strategies undertaken by young informal workers with an illustration of informal sector workers in the city of Banda Aceh. The results show that there are seven possible ways to survive in the midst of the covid-19 pandemic, namely taking debt to family and friends, returning to your hometown, reducing the quantity of consumption, working with other people's capital, building a subsistence economy, diversification of informal workers and circumventing government regulations. These strategies are rooted in everyday life and in reality which are taken for granted and therefore are not acts of instrumental rationality.
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- 2021
11. The shadow economy in South Asia: dynamic effects on clean energy consumption and environmental pollution
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Ahmed Usman, Muhammad Tayyab Sohail, Sana Ullah, Muhammad Tariq Majeed, and Zubaria Andlib
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Pollution ,020209 energy ,Health, Toxicology and Mutagenesis ,media_common.quotation_subject ,Air pollution ,India ,Institutional quality ,Environmental pollution ,02 engineering and technology ,010501 environmental sciences ,medicine.disease_cause ,01 natural sciences ,Tax revenue ,Nepal ,0202 electrical engineering, electronic engineering, information engineering ,medicine ,Economics ,Environmental Chemistry ,Pakistan ,Shadow economy ,Environmental quality ,Sri Lanka ,0105 earth and related environmental sciences ,media_common ,Shadow (psychology) ,Consumption (economics) ,Bangladesh ,Informal sector ,General Medicine ,Carbon Dioxide ,Economy ,Economic Development ,Clean energy ,Environmental Pollution ,Research Article - Abstract
This study explores the symmetric and asymmetric effects of the shadow economy on clean energy and air pollution of South Asian countries over the period 1991–2019. The short-run ARDL findings for the clean energy model suggest that shadow economy increases clean energy consumption in Pakistan and Sri Lanka, whereas this effect is negative for India and insignificant for other countries. The long-run results indicate the adverse impact only for India and the effects of tax revenue on clean energy are positively significant in Sri Lanka while negatively signiicant in Nepal and Bangladesh. Institutional quality significantly increases clean energy in Pakistan, India, and Nepal. However, in the case of Pakistan and Nepal, institutional quality deteriorated the environmental quality. The results for the pollution model confer that shadow economy increases emissions in Pakistan, decreases in Bangladesh and Nepal, and has no effect in India and Sri Lanka. The nonlinear ARDL results reveal that the positive components of the shadow economy significantly increase clean energy consumption only in Pakistan; however, the negative components of the shadow economy are negatively significant in all countries except Sri Lanka and Nepal. However, the negative component of the informal sector of the economy reduces CO2 emissions in India and increases CO2 emissions in Bangladesh and Nepal. The results offer important policy implications for achieving clean energy and better environmental quality in South Asian countries.
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- 2021
12. ¿Por qué la gente compra fayuca en los tianguis de Monterrey?
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Efrén Sandoval Hernández
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Consumption (economics) ,Interpersonal ties ,Informal sector ,Reproduction (economics) ,media_common.quotation_subject ,General Medicine ,Sociology ,Marketing ,Social practice ,Focus group ,Elaboration ,Diversity (politics) ,media_common - Abstract
This article aims to show that the purchase of fayuca, or contraband, in the tianguis, or street markets, happens because it serves to sustain social ties and, particularly, the social practice of the family. The text uses the literature on social practices and consumption to make such a demonstration. The information comes from observations, dialogues, interviews and focus groups, conducted mainly with women who regularly attend the tianguis in Monterrey. The results show that people buy items to use in the elaboration and reproduction of social practices they consider important, and that for this the fayuca is highly functional because it is cheap, very accessible and abundant. The article is original because, unlike most of the literature on the informal economy, it focuses on consumption, although it does not cover the diversity of consumers who come to the market.
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- 2020
13. The Effects of the Incentive for Young and Female Employment Regulated by Law No. 6111 and Macroeconomic Variables on Employment, Informal Employment, and Income
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Halit Basbuga and Hakan Kitapçi
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Inflation ,Consumption (economics) ,Informal sector ,lcsh:HB71-74 ,media_common.quotation_subject ,lcsh:Economics as a science ,lcsh:Business ,Social security ,Active labour market policies ,Exchange rate ,Incentive ,Law ,Economics ,Revenue ,lcsh:HF5001-6182 ,General Economics, Econometrics and Finance ,media_common - Abstract
This study examines the effects of macroeconomic variables and the Incentive for Young and Female Employment Regulated by Law No. 6111 in Turkey on employment, informal employment, and income. Electricity consumption (economic growth), USD/TRY exchange rate and inflation have been taken as the macroeconomic variables. Of the employment incentive policies implemented in Turkey, the employment incentive regulated by Law No. 6111 has also been used as a variable. Data have been taken monthly for the period 2012 through 2016. This study is significant because the data regarding the employment incentives implemented in Turkey are the actual data obtained from the Social Security Institution. As a result of the analysis, no significant impact of the Employment Incentive for Young and Female Employment regulated by Law No. 6111 and the examined macroeconomic variables was found on employment. The first lagged value of Inflation, one of the macroeconomic variables used in the study, had statistically significant impacts on the increase in informal employment. From macroeconomic variables, the USD/TRY exchange rate has a negative and relatively high impact. The increase in the exchange rate lowered revenue, as an expected outcome.Keywords: Employment, Informal Employment, Income, Employment Incentives, Electricity Consumption, Active Labour Market PoliciesJEL Classifications: D31, E24, J2DOI: https://doi.org/10.32479/ijefi.10435
- Published
- 2020
14. GROWTH EFFECTS OF INFLATION UNDER THE PRESENCE OF INFORMALITY.
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Asfuroglu, Dila and Elgin, Ceyhun
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PRICE inflation ,INFORMAL sector ,CONSUMPTION (Economics) ,SAVINGS ,TAXATION - Abstract
ABSTRACT In this paper we build an endogenous growth model in which the informal economy is subject to a cash-in-advance constraint along with physical capital accumulation and consumption. In this setting, we find that inflation generally adversely affects long-run growth. However; this effect strongly interacts with the size of the informal economy. Specifically, the negative effect becomes milder (and can even be positive) under the presence of a large informal economy. Moreover, using an annual cross-country panel data set of 161 countries over the period 1950-2010 we also provide some empirical support for the mechanism of our theory. [ABSTRACT FROM AUTHOR]
- Published
- 2016
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15. Value‐Added Tax, Input–Output Linkages and Informality
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Mohammad Hoseini
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Consumption (economics) ,Economics and Econometrics ,Input/output (C++) ,Index (economics) ,Informal sector ,05 social sciences ,Audit ,Linkage (mechanical) ,law.invention ,Microeconomics ,Value-added tax ,law ,0502 economics and business ,Business ,050207 economics ,Empirical evidence ,050205 econometrics - Abstract
This paper analyses the impact of adopting a value‐added tax (VAT) on the size of the informal sector across different activities. Under VAT, formal traders desire to purchase their inputs from formal suppliers for a deduction in their tax bill. I model this ‘self‐enforcement’ feature of VAT on an input–output economy and quantify it among different activities using a forward linkage index. The administration can reduce the size of the informal economy by reallocating the audits to activities with higher backward linkages and final consumption. Empirical evidence from the Indian services sector justifies the theoretical results and shows a significant increase in the tax compliance of forwardly linked activities following the VAT adoption in 2003.
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- 2019
16. Oil palm expansion and deforestation in Southwest Cameroon associated with proliferation of informal mills
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Eric F. Lambin, Elsa M. Ordway, Rosamond L. Naylor, and Raymond N. Nkongho
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010504 meteorology & atmospheric sciences ,Science ,General Physics and Astronomy ,010501 environmental sciences ,01 natural sciences ,General Biochemistry, Genetics and Molecular Biology ,Article ,Environmental impact ,Deforestation ,Per capita ,Land use, land-use change and forestry ,lcsh:Science ,Author Correction ,Hectare ,0105 earth and related environmental sciences ,Consumption (economics) ,Multidisciplinary ,Informal sector ,Agroforestry ,Economic sector ,General Chemistry ,Geography ,Sustainability ,lcsh:Q - Abstract
Oil palm expansion resulted in 2 million hectares (Mha) of forest loss globally in 2000–2010. Despite accounting for 24% (4.5 Mha) of the world’s total oil palm cultivated area, expansion dynamics in sub-Saharan Africa have been overlooked. We show that in Southwest Cameroon, a top producing region of Africa, 67% of oil palm expansion from 2000–2015 occurred at the expense of forest. Contrary to the publicized narrative of industrial-scale expansion, most oil palm expansion and associated deforestation is occurring outside large agro-industrial concessions. Expansion and deforestation carried out by non-industrial producers is occurring near low-efficiency informal mills, unconstrained by the location of high-efficiency company-owned mills. These results highlight the key role of a booming informal economic sector in driving rapid land use change. High per capita consumption and rising palm oil demands in sub-Saharan Africa spotlight the need to consider informal economies when identifying regionally relevant sustainability pathways., Deforestation for palm oil production is often attributed to large-scale, agro-industrial expansion. Here, Ordway et al. show that much recent expansion in Southwest Cameroon can be attributed to an informal sector of non-industrial producers establishing near informal, non-industrial palm oil mills.
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- 2019
17. DETERMINANTS OF VAT GAP IN EU.
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Zidková, Hana
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VALUE-added tax ,TAX evasion ,CONSUMPTION (Economics) ,INFORMAL sector ,INTERNATIONAL trade - Abstract
The article discusses a study on the value added tax (VAT) gap in the European Union (EU). Topics covered include calculation methods used to quantify the VAT gap in various countries, the role of tax evasion as an indicator of VAT gap, and factors influencing the size of VAT gap. Also mentioned are the impact of the final consumption of households and non-profit organizations, the effect of the share of the shadow economy and the share in intra-community trade.
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- 2014
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18. Forest cover and social relations are more important than economic factors in driving hunting and bushmeat consumption in post-frontier Amazonia
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Carla Morsello, Renata Pardini, Patricia Carignano Torres, and Luke Parry
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0106 biological sciences ,Consumption (economics) ,BIODIVERSIDADE ,Poverty ,Informal sector ,Natural resource economics ,010604 marine biology & hydrobiology ,Subsistence agriculture ,Context (language use) ,010603 evolutionary biology ,01 natural sciences ,Ecosystem services ,Geography ,Sustainability ,Bushmeat ,Ecology, Evolution, Behavior and Systematics ,Nature and Landscape Conservation - Abstract
Identifying the economic drivers of hunting and bushmeat consumption is crucial for understanding whether economic growth in tropical forest regions can foster poverty alleviation and biodiversity conservation. However, studies investigating those drivers have drawn contrasting conclusions. Some authors attribute inconsistent findings to heterogeneous spatial and environmental contexts, yet other studies indicate that social factors may predominate over economical determinants. Here, we investigate bushmeat hunting and consumption by analyzing the relative importance of household-scale economic factors in diverse spatial and environmental contexts. We surveyed 240 households distributed across twenty diverse rural landscapes in a post-frontier region in Brazilian Amazonia. Our results show that hunting is more likely in locations with higher forest cover, where game availability is expected to be higher. In contrast, bushmeat consumption is widespread even in deforested landscapes near to urban centers. However, we find no evidence that household-scale economic factors determine variation in rural bushmeat consumption, regardless of spatial or environmental context. Consequently, we infer that future growth in income or wealth would be unlikely to significantly change patterns of bushmeat hunting and consumption. Instead, we find that eating bushmeat is mainly dependent on the hunting of relatively common species for subsistence and food sharing, rather than through market exchange. This demonstrates an important informal economy maintained by social relations. Work is needed to evaluate the sustainability of hunting these small to medium-sized species given they evidently provide useful ecosystem service to poor households and are likely to support social relations in rural Amazonia.
- Published
- 2021
19. Welfare Effects of Unemployment Benefits When Informality is High
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Clemente. Pignatti and Hannah Liepmann
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Consumption (economics) ,Receipt ,Labour economics ,Informal sector ,Dismissal ,media_common.quotation_subject ,Unemployment ,Economics ,Survey data collection ,Context (language use) ,Welfare ,media_common - Abstract
We analyze for the first time the welfare effects of unemployment benefits (UBs) in a context of high informality, exploiting matched administrative and survey data with individual-level information on UB receipt, formal and informal employment, wages and consumption. Using a difference-in-differences approach, we find that dismissal from a formal job causes a large drop in consumption, which is between three to six times larger than estimates for developed economies. This is generated by a permanent shift of UB recipients towards informal employment, where they earn substantially lower wages. We then exploit a kink in benefits and show that more generous UBs delay program exit through a substitution of formal with informal employment. However, the disincentive effects are small and short-lived. Because of the high insurance value and the low efficiency costs, welfare effects from increasing UBs are positive for a range of values of the coefficient of relative risk aversion.
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- 2021
20. Consumption Risk-Sharing in Social Networks.
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Ambrus, Attila, Mobius, Markus, and Szeidl, Adam
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SOCIAL networks ,RISK sharing ,CONSUMPTION (Economics) ,ENDOGENEITY (Econometrics) ,INFORMAL sector - Abstract
We develop a model in which connections between individuals serve as social collateral to enforce informal insurance payments. We show that: (i) The degree of insurance is governed by the expansiveness of the network, measured with the per capita number of connections that groups have with the rest of the community. 'Two-dimensional' networks-like real-world networks in Peruvian villages-are sufficiently expansive to allow very good risk-sharing. (ii) In second-best arrangements, insurance is local: agents fully share shocks within, but imperfectly between endogenously emerging risk-sharing groups. We also discuss how endogenous social collateral affects our results. (JEL D85, G22, O15, O17, Z13) [ABSTRACT FROM AUTHOR]
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- 2014
- Full Text
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21. More eyes on COVID-19: Perspectives from Economics: The economic costs of the pandemic – and its response
- Author
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Tania Ajam
- Subjects
General Biochemistry, Genetics and Molecular Biology ,Supply and demand ,lcsh:Social Sciences ,South Africa ,economic impact analysis ,Development economics ,Economics ,lcsh:Social sciences (General) ,lcsh:Science ,lcsh:Science (General) ,Consumption (economics) ,Poverty ,Informal sector ,COVID-19 ,economics ,lcsh:H ,Shock (economics) ,Demand shock ,Financial crisis ,General Earth and Planetary Sciences ,lcsh:Q ,lcsh:H1-99 ,Consumer confidence index ,General Agricultural and Biological Sciences ,social sciences ,lcsh:Q1-390 - Abstract
From an economics perspective, the COVID-19 shock is unprecedented and very different from other global financial shocks For the first time since the 1918 Spanish flu epidemic, the South African economy has been hit by real supply and demand shocks that have struck both domestic production and global supply chains, and simultaneously depressed demand in both the domestic and global economies Lockdown halted consumption to promote social distancing Productive activities in most sectors ceased with consequent loss of jobs, workers furloughed or salaries cut--all of which induced a massive demand shock and loss of business and consumer confidence There is a very real danger that these shocks to the real economy will morph into a financial crisis at a time when the South African economy has already been bedevilled by a secular decline in output growth, high unemployment, precarious informal sector livelihoods, abject poverty and obscene inequality Here, Ajam talks about the economic costs of the pandemic
- Published
- 2020
22. Informality, Consumption Taxes and Redistribution
- Author
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Lucie Gadenne, Anders Jensen, and Pierre Bachas
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ComputingMilieux_GENERAL ,Tax policy ,Consumption (economics) ,Consumption tax ,Labour economics ,Value-added tax ,Informal sector ,Income distribution ,Engel curve ,Economics ,ComputingMilieux_LEGALASPECTSOFCOMPUTING ,Optimal tax - Abstract
Can consumption taxes reduce inequality in developing countries? This paper combines household expenditure data from 31 countries with theory to shed new light on the redistributive potential and optimal design of consumption taxes. It uses the place of purchase of each expenditure to proxy for informal (untaxed) consumption which enables characterizing the informality Engel curve. The analysis finds that the budget share spent in the informal sector steeply declines with income, in all countries. The informal sector thus makes consumption taxes progressive: households in the richest quintile face an effective tax rate that is twice that of the poorest quintile. The paper extends the standard optimal commodity tax model to allow for informal consumption and calibrates it to the data to study the effects of different tax policies on inequality. Contrary to consensus, the findings show that consumption taxes are redistributive, lowering inequality by as much as personal income taxes. These effects are primarily driven by the shape of the informality Engel curve. Taking informality into account, commonly used redistributive policies, such as reduced tax rates on necessities, have a limited impact on inequality. In particular, subsidizing food cannot be justified on equity or efficiency grounds in several poor countries.
- Published
- 2020
23. 'We never boil our milk, it will cause sore udders and mastitis in our cows'- consumption practices, knowledge and milk safety awareness in Senegal
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Damitoti Yempabou, Ayayi Justin Akakpo, Laura Craighead, Rianatou Bada-Alambedji, Jacqueline M. Cardwell, Bhagyalakshmi Chengat Prakashbabu, Andrée Prisca Ndjoug Ndour, Elhadji Ba, and Javier Guitian
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Male ,Health Knowledge, Attitudes, Practice ,Culture ,Foodborne Diseases ,fluids and secretions ,0302 clinical medicine ,Pregnancy ,Surveys and Questionnaires ,Child ,Family Characteristics ,education.field_of_study ,Farmers ,Informal sector ,lcsh:Public aspects of medicine ,Raw milk ,food and beverages ,04 agricultural and veterinary sciences ,Awareness ,Senegal ,Product (business) ,Dairying ,Milk ,Pasteurization ,Female ,Research Article ,Adult ,Adolescent ,030231 tropical medicine ,Population ,Focus-groups ,Food safety ,Young Adult ,03 medical and health sciences ,Mammary Glands, Animal ,Environmental health ,medicine ,Animals ,Humans ,education ,Aged ,Consumption (economics) ,Milk-borne diseases ,business.industry ,0402 animal and dairy science ,Public Health, Environmental and Occupational Health ,lcsh:RA1-1270 ,medicine.disease ,040201 dairy & animal science ,Focus group ,Mastitis ,Cattle ,business - Abstract
Background Milk is a nutrient-rich food that makes an important contribution to diets in several Low and Middle Income Countries such as Senegal. Milk can also harbour several pathogenic microorganisms. As in other low and middle income countries, the dairy industry in Senegal is growing, with an expansion of farms to meet rapidly growing demand in the cities. However, most of the production still happens in the informal sector, and little is known about consumption of milk and milk products, or knowledge, awareness and practices of actors in informal dairy supply chains. Methods We conducted structured focus group discussions with dairy farmers and milk processors in three selected regions (Dakar, Thies and Fatick) in Senegal to investigate the consumption practices, awareness of milk borne hazards, and practices relevant to the risk of milk contamination to gain a deeper understanding of drivers of milk-borne diseases. Data on the consumption of milk and milk products were also collected using a closed questionnaire. Results Results indicate that milk is an important part of the diet in the study regionsand raw milk consumption is very common. The most common milk product consumed was fermented milk. Awareness of milk borne hazards was limited. Several farmers and processors reported risky practices, despite being aware of better practices, due to cultural beliefs. In households, children, pregnant women and older people were prioritised when milk and milk products were distributed. Dairy farmers and milk processors were more concerned with the lack of food for animals, low production and seasonality of production than the safety of the milk and milk products. Conclusions Lack of awareness of milk borne infections and some traditional practices put milk and milk product consumers in the study area at high risk of milk borne diseases.. Prioritising certain sub population at households (Pregnant women and children) makes then vulnerable to milk-borne hazards. It will be challenging to change the risky practices as they are motivated by cultural beliefs hence the best strategy to promote milk safety will be to encourage the boiling of milk by consumers.
- Published
- 2020
24. Survival Strategies of City Transportation Drivers In Purwokerto Banyumas Regency
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Putri Nur Aini and Lilis Siti Badriah
- Subjects
Consumption (economics) ,Basic income ,education.field_of_study ,Informal sector ,media_common.quotation_subject ,Population ,Family income ,Standard of living ,Business ,Socioeconomics ,education ,Welfare ,Average propensity to consume ,media_common - Abstract
According to the Central Statistics Agency (2017), the proportion of workers in the Indonesias informal sector is 57.03 percent in 2017. One of the jobs in the informal sector is city transportation drivers. Purwokerto has a population of 263,501 people in 2017 spreading across four sub-districts. Population needs for transportation are served by city transportation. The existence of the Trans Jateng bus and the growing development of on-line transportation services have reduced consumer demand for urban transportation services. As a consequence, it had an impact on the income of city transportation drivers. This study aimed to analyze the income and consumption, the welfare of life, and survival strategies of city transportation drivers in Purwokerto in meeting their family needs. The total sample of 78 respondents was selected randomly. The analytical methods used in this study were tabulation, Average Propensity to Consume analysis, comparison between income and Decent Standar of Living in Banyumas Regency, and survival strategies using coping strategies. The results indicated that 51.3 percent of respondents had basic income smaller than other income; the basic income of 89.74 percent of respondents had not been able to meet family consumption, but based on family income, it was obtained that 69.23 percent of respondents has been able to meet family consumption; both of basic income and family income of the majority of drivers have not been able to meet a Decent Standard of Living; the survival strategies used by the respondents were active, passive, and network strategies. This study implies that the Regional Government needs to adopt a policy that supports the city transportation drivers in the form of limiting the number of on-line transportations and monitoring the red zones as well as regulating the Trans Jateng Bus lane so that it may not have a negative impact on the city transportation.
- Published
- 2020
25. Informality, Consumption Taxes and Redistribution
- Author
-
Anders Jensen, Pierre Bachas, and Lucie Gadenne
- Subjects
Consumption (economics) ,Tax policy ,History ,Labour economics ,Equity (economics) ,Polymers and Plastics ,Informal sector ,ComputingMilieux_LEGALASPECTSOFCOMPUTING ,Redistribution (cultural anthropology) ,Industrial and Manufacturing Engineering ,ComputingMilieux_GENERAL ,Personal income ,Engel curve ,Economics ,Business and International Management ,Tax law - Abstract
Can consumption taxes reduce inequality in developing countries? We combine household expenditure data from 31 countries with theory to shed new light on the redistributive potential and optimal design of consumption taxes. We use the type of store in which purchases occur to proxy for informal (untaxed) consumption. This enables us to characterize the informality Engel curve: we find that the budget share spent in the informal sector steeply declines with income, in all countries. The informal sector thus makes consumption taxes progressive: households in the richest quintile face an effective tax rate that is twice that of the poorest quintile. We extend the standard optimal commodity tax model to allow for informal consumption and calibrate it to the data to study the effects of different tax policies on inequality. Contrary to consensus, we show that consumption taxes are redistributive, lowering inequality by as much as personal income taxes. Once informality is taken into account, commonly used redistributive policies, such as reduced tax rates on necessities, have a limited impact on inequality. In particular, subsidizing food cannot be justified on equity or efficiency grounds in several poor countries. Institutional subscribers to the NBER working paper series, and residents of developing countries may download this paper without additional charge at www.nber.org.
- Published
- 2020
26. Health, wealth, and informality over the life cycle
- Author
-
Xavier Fairise, Anthony Terriau, Julien Albertini, Groupe d'analyse et de théorie économique (GATE Lyon Saint-Étienne), École normale supérieure - Lyon (ENS Lyon)-Université Lumière - Lyon 2 (UL2)-Université Claude Bernard Lyon 1 (UCBL), Université de Lyon-Université de Lyon-Université Jean Monnet [Saint-Étienne] (UJM)-Centre National de la Recherche Scientifique (CNRS), Groupe d'Analyse des Itinéraires et des Niveaux Salariaux (GAINS), Le Mans Université (UM), Dao, Taï, Centre National de la Recherche Scientifique (CNRS)-Université de Lyon-Université Jean Monnet [Saint-Étienne] (UJM)-Université Claude Bernard Lyon 1 (UCBL), Université de Lyon-Université Lumière - Lyon 2 (UL2)-École normale supérieure - Lyon (ENS Lyon), Groupe d'Analyse et de Théorie Economique Lyon - Saint-Etienne (GATE Lyon Saint-Étienne), École normale supérieure de Lyon (ENS de Lyon)-Université Lumière - Lyon 2 (UL2)-Université Claude Bernard Lyon 1 (UCBL), and Université de Lyon-Université de Lyon-Université Jean Monnet - Saint-Étienne (UJM)-Centre National de la Recherche Scientifique (CNRS)
- Subjects
Counterfactual thinking ,Economics and Econometrics ,Control and Optimization ,JEL: J - Labor and Demographic Economics/J.J6 - Mobility, Unemployment, Vacancies, and Immigrant Workers/J.J6.J64 - Unemployment: Models, Duration, Incidence, and Job Search ,Life cycle ,Measures of national income and output ,0502 economics and business ,Economics ,050207 economics ,[SHS.ECO] Humanities and Social Sciences/Economics and Finance ,Wealth ,Consumption (economics) ,JEL: I - Health, Education, and Welfare/I.I1 - Health/I.I1.I14 - Health and Inequality ,050208 finance ,Informal sector ,Earnings ,Informality ,Applied Mathematics ,05 social sciences ,[SHS.ECO]Humanities and Social Sciences/Economics and Finance ,JEL: I - Health, Education, and Welfare/I.I1 - Health/I.I1.I15 - Health and Economic Development ,Virtuous circle and vicious circle ,Shock (economics) ,JEL: E - Macroeconomics and Monetary Economics/E.E2 - Consumption, Saving, Production, Investment, Labor Markets, and Informal Economy/E.E2.E26 - Informal Economy • Underground Economy ,Market risk ,Health ,Demographic economics ,JEL: O - Economic Development, Innovation, Technological Change, and Growth/O.O1 - Economic Development/O.O1.O17 - Formal and Informal Sectors • Shadow Economy • Institutional Arrangements ,JEL: J - Labor and Demographic Economics/J.J4 - Particular Labor Markets/J.J4.J46 - Informal Labor Markets - Abstract
How do labor market and health outcomes interact over the life cycle in a country characterized by a large informal sector and strong inequalities? To quantify the effects of bad health on labor market trajectories, wealth, and consumption, we develop a life-cycle heterogeneous agents model with a formal and an informal sector. We estimate our model using data from the National Income Dynamics Study, the first nationally representative panel study in South Africa. We run counterfactual experiments and show that health shocks have an important impact on wealth and consumption. The channel through which these shocks propagate strongly depends on the job status of individuals at the time of the shock. For formal workers, bad health reduces labor efficiency, which translates into lower earnings. For informal workers and the non-employed, the shock lowers the job finding rate and increases job separation into non-employment, which results in a surge in non-employment spells. As bad health spells persist more for non-employed than for employed individuals, the interaction between labor market risks and health risks generates a vicious circle.
- Published
- 2020
27. Romanian Forest Sector Labor Force - Evolutions and Trends
- Author
-
Laurenţiu Ciornei and Paula Munteanu
- Subjects
Consumption (economics) ,Sustainable development ,Informal sector ,Economic policy ,Emerging technologies ,Workforce ,media_common.cataloged_instance ,Business ,European union ,Natural resource ,Exploitation of natural resources ,media_common - Abstract
As a trend of evolution, the labor force in the Romanian forestry sector is part of trajectory registered by the European Union, as a whole, because many of the member countries are still oriented on the traditional methods of administration, harvesting and processing. However, there are also developed countries with large forested areas (Finland, Sweden) that have embraced new technologies and adjusted management and production processes. This issue aimed, among other things, at reducing the number of people employed in the forestry sector. In Romania, increasing the number of the employees, based on the quantitative increase of jobs as result of the gross exploitation of resources, will slow down by adopting new technologies, reducing the consumption of natural resources, but also as an effect of economic shocks generated by the pandemic. For these reasons, according to our study, the low-skilled workforce will suffer, this being the most vulnerable category, as technological developments need employees with higher skills and abilities. Equally, the informal sector must be taken into account because it employs four times people more. Romania have to adopt those appropriate measures in order to help the incorporation of the labor force released from the forestry sector of resource exploitation into adjacent sustainable activities.
- Published
- 2020
28. Unemployment dynamics and informality in small open economies
- Author
-
Guanyi Yang and Jaroslav Horvath
- Subjects
Consumption (economics) ,Economics and Econometrics ,Informal sector ,media_common.quotation_subject ,Small open economy ,Interest rate ,Economy ,Unemployment ,Economics ,Unemployment rate ,Emerging market economies ,Productivity ,Finance ,media_common - Abstract
Despite the typically more pronounced aggregate fluctuations in emerging market economies (EMEs), this paper documents that EMEs exhibit a lower relative volatility and countercyclicality of the unemployment rate than small open advanced economies. We link these differences to the larger informal economy in EMEs. We build a small open economy model that combines a formal sector featuring labor search frictions with a frictionless informal sector. A larger informal sector amplifies the impact of productivity and interest rate shocks on formal output, consumption, and employment, while dampening their impact on unemployment. Varying the degree of informality explains a significant fraction of differences in unemployment dynamics across small open economies.
- Published
- 2022
29. Household Livelihood Recovery after 2015 Nepal Earthquake in Informal Economy: Case Study of Shop Owners in Bungamati
- Author
-
Kenji Okazaki and Ranit Chatterjee
- Subjects
Consumption (economics) ,021110 strategic, defence & security studies ,Community resilience ,Economic growth ,010504 meteorology & atmospheric sciences ,Informal sector ,0211 other engineering and technologies ,Disaster Recovery ,Disaster recovery ,02 engineering and technology ,General Medicine ,Livelihood ,01 natural sciences ,Goods and services ,Nepal Earthquake ,Informal economy ,Business ,Household ,Tourism ,0105 earth and related environmental sciences ,Social capital - Abstract
The 2015 earthquake caused widespread damage in Nepal causing monetary loss of billions of dollars. Majority the households in Nepal are engaged in informal sector and relies heavily on local market and tourism. In Nepal, livelihood and households are not only linked through livelihood, built space, goods and services, but also through culture and traditions. As a result, understanding their linkage is important for effective recovery to further facilitate strengthening of community resilience. This article focuses on household and livelihood recovery within the first two years of the earthquake in traditional settlements Bungamati. Participatory mapping followed by narrative analysis of the interviews is used for understanding the linkages. Narrative analysis of the field interviews conducted with the shop owners generated six types household assets. Further, these assets were linked with the various coping strategies in the post disaster situation. The findings suggest three main type of coping strategies for livelihood recovery namely; Intensifying use of capitals, dependency on social capital and mitigate consumption and expenditure., 7th International Conference on Building Resilience; Using scientific knowledge to inform policy and practice in disaster risk reduction, ICBR2017, 27-29 November 2017, Bangkok, Thailand
- Published
- 2018
30. Explaining participation in the informal economy: a purchaser perspective
- Author
-
Colin C. Williams, Ioana Alexandra Horodnic, and Jan Windebank
- Subjects
Consumption (economics) ,Economics and Econometrics ,Eurobarometer ,Informal sector ,Public economics ,media_common.quotation_subject ,05 social sciences ,General Social Sciences ,Public policy ,Informal education ,0506 political science ,Goods and services ,Originality ,0502 economics and business ,050602 political science & public administration ,Economics ,media_common.cataloged_instance ,050207 economics ,Economic system ,European union ,media_common - Abstract
PurposeParticipation in the informal economy has been predominantly explained from a supply side perspective by evaluating the rationales for people working in this sphere. Recognising that many transactions in the informal economy are often instigated by customers, exemplified by purchasers asking “how much for cash?”, the purpose of this paper is to explain the informal economy from a demand-side perspective by evaluating citizens’ rationales for making purchases in the informal economy. Here, the authors test three potential explanations for acquiring goods and services in the informal economy, grounded in rational economic actor, social actor and formal economy imperfections theoretical perspectives.Design/methodology/approachTo do this, a 2013 Eurobarometer survey, involving 27,563 face-to-face interviews conducted in 28 European Union member states is reported.FindingsThe finding is that all three rationales apply but the weight given to each varies across populations. A multinomial logit regression analysis then pinpoints the specific groups variously using the informal economy to obtain a lower price, for social or redistributive rationales, or due to the failures of the formal economy in terms of the availability, speed and quality of provision.Practical implicationsThe outcome is to reveal that the conventional policy approach of changing the cost/benefit ratios confronting purchasers will only be effective for those purchasers citing a lower price as their prime rationale. Different policy measures will be required for those making informal economy purchases due to the shortcomings of the formal economy, and for social ends. These policy measures are then discussed.Originality/valueThe value and originality of this paper is that it explains participation in the informal economy from a purchaser, rather than the predominant supplier, perspective.
- Published
- 2017
31. Aspects Regarding Alternative Currencies.
- Author
-
ROTARU, Andreia
- Subjects
ALTERNATIVE currencies ,INFORMAL sector ,ECONOMISTS ,FINANCIAL crises ,UNEMPLOYMENT ,CONSUMPTION (Economics) ,LIQUIDITY (Economics) - Abstract
The occurrence and use of alternative currencies is manly related to the informal economy area, usually placed outside the economistsţ preoccupation. Under the conditions of the current crisis, there is, however, a reconsideration of the attention given to alternative currencies would be opportune, taking into account the high unemployment, low consumption capacity for a considerable part of the population and even the lack of liquidities that can sometimes occur in an economy. Furthermore, the expansion of Internet and its increasing intense use favors a leap to another level of classical" alternative currencies used during the last decades in various communities, by amplifying their positive effects and their use on a broader scale, even global. In this paper we shall define the alternative currencies and will present a short typology of them, then we shall outline a series of advantages and disadvantages related to their use. [ABSTRACT FROM AUTHOR]
- Published
- 2013
32. Consumption, Technology and Adaptation: Care and Repair Economies of Mobile Phones in North India.
- Author
-
Doron, Assa
- Subjects
- *
CELL phone maintenance & repair , *INFORMAL sector , *CONSUMPTION (Economics) , *MIDDLE class - Abstract
On the edges of the digital world in India, there are millions of mobile phone users. To cater for these consumers, an economy of mobile phone care and repair has emerged in almost every town. Through the experiences of consumers and repairers, this article explores technology distribution, service practices and economic opportunity. How do they learn their trade? How do they make a living? And how do they position themselves in relation to the official branded manufacturers and licensed agents? Conceptually, the article is concerned with the nexus between consumer culture, the Indian middle class and the poor and how they engage global capitalism. It argues that middle-class ideologies and practices of consumption are both exclusive and expansive. At the same time, the poor seek to engage this economy by tapping into the unauthorized sector that responds to their demands for local participation in the global economy, while keeping them also at a certain distance from the forms and symbolic capital of the new economy. [ABSTRACT FROM AUTHOR]
- Published
- 2012
- Full Text
- View/download PDF
33. Condiciones del entorno laboral informal y sus implicaciones en el riesgo de depresión para personas mayores en Ciudad Juárez, México
- Author
-
Magdalena Medrano-Ramos, Diego Sánchez-González, Vicente Rodríguez-Rodríguez, Rodríguez Rodríguez, Vicente, and Rodríguez Rodríguez, Vicente [0000-0002-8812-6841]
- Subjects
Consumption (economics) ,Geography (General) ,medicine.medical_specialty ,Riesgos ambientales ,Latin Americans ,Informal sector ,México ,Public health ,Geography, Planning and Development ,Envejecimiento ,Odds ratio ,Empleo precario ,Mental health ,Quality of life (healthcare) ,Environmental health ,medicine ,G1-922 ,Gerontología Ambiental ,Psychology ,Socioeconomic status ,Síntomas depresivos ,Earth-Surface Processes - Abstract
En América Latina muchas personas mayores trabajan en empleos informales; sin embargo, existe un limitado conocimiento sobre cómo sus condiciones laborales (horas de trabajo, ambiente, seguridad) influyen en su salud física y metal, y su calidad de vida. El objetivo de esta investigación es analizar las implicaciones del ambiente laboral en el riesgo de síntomas depresivos en personas mayores con empleos informales en Ciudad Juárez, México. La metodología analiza los datos de una encuesta intencional a trabajadores informales de 65 y más años, utilizando técnicas cuantitativas (intervalos de confianza, correlaciones, chi-cuadrado, Odds Ratio, regresión logística binaria, ANOVA y Post Hoc). Los resultados indican que el riesgo de depresión está asociado con las condiciones socioeconómicas, capacidades funcionales y de salud, hábitos de consumo, y demandas del entorno laboral físico y social. Este riesgo varía según el lugar de trabajo, especialmente en comercios ambulantes y vía pública, donde también está relacionado con problemas de salud, económicos y consumo de alcohol. Se propone revisar los programas de salud pública y empleo para prevenir amenazas para la salud e integridad de personas mayores con empleos informales.
- Published
- 2021
34. The work of shopping: Resellers and the informal economy at the goodwill bins
- Author
-
Jennifer Ayres
- Subjects
Consumption (economics) ,History ,Informal sector ,060106 history of social sciences ,05 social sciences ,Post-industrial society ,06 humanities and the arts ,Secondary market ,Precarity ,Commerce ,Work (electrical) ,0502 economics and business ,Goodwill ,Business, Management and Accounting (miscellaneous) ,0601 history and archaeology ,Business ,Business and International Management ,050203 business & management - Abstract
In this article, I examine the material and everyday practices of a community of thrift-shoppers at the Goodwill Bins. Their practices reveal that shopping in these cutthroat environments is anythi...
- Published
- 2017
35. Monetary evaluation of end-of-life vehicle treatment from a social perspective for different scenarios in China
- Author
-
Shuhan Hu and Zongguo Wen
- Subjects
Consumption (economics) ,Government ,Informal sector ,Public economics ,Renewable Energy, Sustainability and the Environment ,Status quo ,020209 energy ,Strategy and Management ,media_common.quotation_subject ,Social cost ,02 engineering and technology ,010501 environmental sciences ,Environmental economics ,01 natural sciences ,Industrial and Manufacturing Engineering ,Value (economics) ,0202 electrical engineering, electronic engineering, information engineering ,Economics ,Externality ,0105 earth and related environmental sciences ,General Environmental Science ,media_common ,Waste disposal - Abstract
Every year, a great number of ELVs in China are treated informally, that is without government supervision. Because of conflicting standpoints concerning Chinese ELV treatment, there is a need to compare different treatment scenarios based on their impacts on society as a whole. We extracted three scenarios (i.e. the advanced formal sector, the informal sector and the common formal sector) that represent the current state of Chinese ELV treatment, and tried to examine them for societal effects. A framework was proposed for modeling the social value and cost of ELV treatment in the three scenarios, which considers externalities in both the consumption and treatment process stages. A wide variety of data resources were employed and critical externalities were monetized using several valuation methods. It was found that Chinese ELV treatment causes huge loss to society due to the extensive existence of informal sector. Of the three scenarios, the informal sector ranks last for net social value due to the higher costs of traffic accidents and airborne emission caused by the low-quality products, environmental costs of environmental-unfriendly treatment process and taxation losses. However, it ranks top for net private value because of the higher sales in products. Only the net social value in the advanced formal sector is positive because of its consideration to environmental protection. The integration of these two sectors is therefore suggested to be worth considering to improve the status quo. The results also show that the absence of waste disposal fee and decontamination costs results in much higher social cost in the common formal sector than in the advanced formal sector, which indicates the exante environmental measure is superior to the ex-post environmental measure for Chinese ELV treatment.
- Published
- 2017
36. Formality and informality in an Indian urban waste economy
- Author
-
Barbara Harriss-White
- Subjects
Consumption (economics) ,Labour economics ,Sociology and Political Science ,Informal sector ,050204 development studies ,Reproduction (economics) ,05 social sciences ,Formality ,Private sector ,Snowball sampling ,Economy ,Capital (economics) ,0502 economics and business ,Economics ,Field research ,General Economics, Econometrics and Finance ,050203 business & management - Abstract
PurposeThe purpose of this paper is to contribute original evidence about the conditions for formal and informal contracts for commodities and labour in the waste economy of a South Indian town.Design/methodology/approachField research was exploratory, based on snowball sampling and urban traversing. The analysis follows capital and labour in the sub-circuits of capital generating waste in production, distribution, consumption, the production of labour and the reproduction of society.FindingsRegardless of legal regulation, which is selectively enforced, formal contracts are limited to active inspection regimes; direct transactions with or within the state; and long-distance transactions. Formal labour contracts are least incomplete for state employment, and for relatively scarce skilled labour in the private sector.Research limitations/implicationsThe research design does not permit quantified generalisations.Practical implicationsWaste management technology evaluations neglect the social costs of displacing a large informal labour force.Social implicationsWhile slowly dissolving occupational barriers of untouchability, the waste economy is a low-status labour absorber of last resort, exit from which is extremely difficult.Originality/valueThe first systematic exploration of formal and informal contracts in an Indian small-town waste economy.
- Published
- 2017
37. The Contribution of Employment Vulnerability in Explaining Private Sector Inequality in Cameroon
- Author
-
Francis Menjo Baye, Dickson Thomas Ndamsa, and Gladys Njang
- Subjects
Consumption (economics) ,Labour economics ,Inequality ,Income inequality metrics ,Economic inequality ,Informal sector ,Gini coefficient ,media_common.quotation_subject ,Economic sector ,Economics ,General Medicine ,Private sector ,media_common - Abstract
This paper identified the role of employment vulnerability and other regressed-income sources in accounting for private sector inequality and examined how much inequality in income and vulnerability is accounted for by within- and between-employment sector components in Cameroon. The paper employed two decomposition approaches: a regression-based framework and a Shapley Value-based rule. To attain these objectives, use was made of the 2007 Cameroon household consumption survey conducted by the government?s statistics office. Employment vulnerability accounted for about 4.1 percent to the national private sector income inequality of 0.38, meanwhile, labour market experience, years of schooling, infant dependency and urban residency accounted for about 6.4, 10.3, 7.0 and 14.2 percent, respectively. Results also showed that the within-group components overly accounted for the national private sector income Gini inequality. Whereas, over 87 percentage points of the within-sector inequality component of 92.5 percent was accounted for by the informal sector, inequality between the formal and informal sectors of employment was only 7.5 percent. These findings highlighted the heterogeneity of informal sector activities and the wisdom of designing policies that can entice transition from informality to formal sector activities.
- Published
- 2017
38. A Comment on "Measuring Human Development in Countries with Invisible Economies: Challenges Posed by the Informal Sector in Jamaica".
- Author
-
OSEI, PHILIP D.
- Subjects
INFORMAL sector ,CONSUMPTION (Economics) ,EMPLOYMENT - Abstract
This article presents a comment on the article "Measuring Human Development in Countries with Invisible Economies: Challenges Posed by the Informal Sector in Jamaica," by Andrew Downes and Elsie Le Franc. The authors concluded that there are no relationships between changes in consumption levels and increases in employment.
- Published
- 2002
39. Shadow Economies: Size, Causes, and Consequences.
- Author
-
Schneider, Friedrich and Enste, Dominik H.
- Subjects
INFORMAL sector ,ECONOMIC development ,UNEMPLOYMENT ,LABOR supply ,CONSUMPTION (Economics) ,INCOME ,SOCIAL security ,TAXATION - Abstract
The shadow economy includes unreported income from the production of legal goods and services, either from monetary or barter transactions, hence all economic activities that would generally be taxable were they reported to the tax authorities. Prospering shadow economy may cause severe difficulties for politicians because official indicators, on unemployment, labor force, income, consumption, are unreliable. Policy based on erroneous official indicators is likely to be ineffective or worse. The analysis of causes shows that an increasing burden of taxation and social security payments, combined with rising state regulatory activities and labor market restrictions, are the major driving forces for the size and growth of the shadow economy. But an interdisciplinary approach seems to be necessary for a more comprehensive analysis, which would consider aspects like tax morale, perceived fairness of the tax system and institutional aspects as well. The results on the shadow economy's effects on the official economy are ambiguous.
- Published
- 2000
- Full Text
- View/download PDF
40. Unsustainable vs. Sustainable Hunting for Food in Gabon: Modeling Short- and Long-Term Gains and Losses
- Author
-
Michelle Wieland, David Wilkie, and John R. Poulsen
- Subjects
0106 biological sciences ,0301 basic medicine ,hunting ,Natural resource economics ,Wildlife ,lcsh:Evolution ,010603 evolutionary biology ,01 natural sciences ,03 medical and health sciences ,lcsh:QH540-549.5 ,lcsh:QH359-425 ,Carrying capacity ,Bushmeat ,Ecology, Evolution, Behavior and Systematics ,Consumption (economics) ,Biomass (ecology) ,Ecology ,Informal sector ,business.industry ,National accounts ,simulation ,030104 developmental biology ,unsustainable ,Livestock ,lcsh:Ecology ,bushmeat ,protein deficit ,business - Abstract
Today, rural people continue to consume wild animals (aquatic and terrestrial) because they are often cheaper and more available than farmed livestock and fish. In many places where the meat from wild animals is an important source of food and income for poor rural families, the capture, consumption or trade of wild animals is illegal and remains within the informal sector and outside of national accounting and regulatory systems. Few studies exist to help policy makers and wildlife managers develop and implement systems designed to halt unsustainable hunting, prevent species loss, and maintain, over the long term, flows of wildlife available to people as a source of food and income. This paper uses empirical data from a tropical forest area in Gabon within a heuristic simulation model to explore how hunter capture rates would need to change over time to halt unsustainable hunting and to maximize the nutritional and economic value of wildlife as a source of food and income over the long term. Results show that sustainable hunting of wildlife populations that are at or near 50% of carrying capacity (0.5 K) generates more biomass available for consumption and income generation over 25 years than either hunting to maintain current population densities or continuing to hunt unsustainably. Unsustainable hunting generates more biomass than sustainable hunting but only for the first 1 to 3 years after which offtake dwindles rapidly. Achieving sustainable hunting will require that hunters reduce their offtake for 3–13 years until depleted populations recover, which may be unlikely unless they have access to alternative sources of food and income.
- Published
- 2019
41. PRODUCTION AND MARKETING NETWORK CHAIN OF BRICK KILN PRODUCT: A CASE STUDY OF HYDERABAD CITY
- Author
-
Siriman Naveen
- Subjects
Consumption (economics) ,Engineering ,Brick ,education.field_of_study ,Informal sector ,Product market ,business.industry ,Population ,Real estate ,Product (business) ,Production (economics) ,Marketing ,business ,education - Abstract
Traditional Indian clay and mud brick kilns have been contributing a lot to the construction sector in general, real estate sector particularly since ages. This sector has been expanding day by day due rapid growth of population, real estate sector. The Indian traditional brick is product of unorganized sector and depending on the labour intensive based production system. This sector has been providing employment to the millions of people, but knows for violation of the fundamental right of labourers. Brick, being one of the oldest building materials, is extensively used as a main input in construction because of its durability, strength, reliability, low cost and easy availability. The brick kiln industries have to face the different kind hurdle in the process of production to marketing. The international organizations and government of India have initiated the several development programmes in ordered to upgrade the production efficiency of brick industry and to reduce pollution generated from the brick industry. From the inception of the brick kiln product to final consumption, various actors involve and many actors influence from inside and outside of the production process. Since this is an informal sector in nature in developing countries, it faces the several problems along the chain, it has the several links. The present paper mainly explains the different stages and actors along the network chain of the brick kiln product market who influence the production at different stages directly or indirectly. The objectives of the paper are: (1) Study the present state of brick kilns and different type of development programmes by government and non-government organizations. (2) Understand the brick kiln chain means how the product of traditional brick kilns reaches to the final consumer by the different agents in the markets along the market network chain from the inception of production process to marketing the product to final consumer and hurdles face by the each stage of the product.
- Published
- 2019
- Full Text
- View/download PDF
42. Economic potential of the RDNK preparation work for residents around Puspiptek
- Author
-
Siti Alimah, Dedy Priambodo, and Mudjiono
- Subjects
Consumption (economics) ,Preparation stage ,Informal sector ,Work (electrical) ,media_common.quotation_subject ,Clean water ,Business ,Environmental economics ,Phase (combat) ,Welfare ,Economic potential ,media_common - Abstract
In the construction of the RDNK there are three stages of activities namely pre-construction, construction, operation and maintenance. In the construction phase there is a preparatory work that provides employment opportunities for the community around the Puspiptek Serpong area. Preparation work is the stage of work that must be planned before the execution of the main work of a construction project. This study aims to obtain an overview of the economic potential that exists in the site preparation stage. Site preparation is carried out after the site permit and construction permit are obtained. The method used is a literature review on problems and analysis. The results of the study indicate that at the preparation stage of the RDNK site there are job opportunities in the informal sector, so that it can accommodate professional workers in the formal sector who were not initially accommodated. The employment opportunities include the provision of consumption, transportation, shelter and clean water supply, which if can be utilized proportionally will improve the welfare of the community. With employment opportunities, there is considerable economic potential for the RDNK site preparation stage
- Published
- 2019
43. ECONOMIC TYPOLOGY APPROACH TO CALCULATE UNEMPLOYMENT INDEX AND REGIONAL POVERTY RATE (STUDY IN TAPAL KUDA AREA OF EAST JAVA)
- Author
-
Setyo Wahyu Sulistyono
- Subjects
Consumption (economics) ,Labour economics ,Index (economics) ,Informal sector ,Poverty ,Economic interventionism ,media_common.quotation_subject ,Unemployment ,Wage ,Economics ,Per capita income ,media_common - Abstract
The aims of this study is determining the level of unemployment index then linking the calculation of the unemployment and poverty index through mapping the economic typology, so in the end determining the form of government intervention on the solution of rigidity in the labor market and its relation to poverty in the residency area. The location of research is the area of East Java that called "Tapal Kuda". The research method used was a descriptive quantitative analysis of the location typology mapping by strengthening the results of calculation of index numbers and poverty. The results of the study reveal that the unemployment index for the majority of Tapal Kuda areas is said to be bad and has high poverty rates. This is inversely proportional to the potential of the Tapal Kuda area as a gateway for the distribution of goods and services, through an analytical approach, the availability of local community access to the economy is minimal, the lack of strengthening a community-based economy, the labor market is rigid, and wages are absorbed in the society with formal employment. The form of government policy recommendations is expected to strengthen the economy of society through local wisdom, bipartite strengthening between the government and companies with flexible wages. Reducing the amount of poverty can be done by stimulating wage policies, aligning the informal sector, strengthening MSMEs, reducing the consumption pattern of luxury goods, increasing per capita income through employment and increasing non-physical investment.
- Published
- 2018
44. Evaluating the multifarious motives for acquiring goods and services from the informal sector in Central and Eastern Europe
- Author
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Ioana Alexandra Horodnic and Colin C. Williams
- Subjects
Cultural Studies ,Consumption (economics) ,History ,Economic growth ,Sociology and Political Science ,Public economics ,Informal sector ,media_common.quotation_subject ,05 social sciences ,Economics, Econometrics and Finance (miscellaneous) ,0506 political science ,Eastern european ,Goods and services ,0502 economics and business ,Structured interview ,050602 political science & public administration ,Quality (business) ,Business ,050203 business & management ,Consumer behaviour ,media_common - Abstract
The aim of this paper is to evaluate which consumers in Central and Eastern Europe are more likely to acquire goods and services from the informal economy and to unravel their multifarious motives for doing so. Analysing 11,131 face-to-face structured interviews conducted in 11 Central and Eastern European (CEE) countries in 2013, a logit regression analysis reveals that some groups purchase from the informal economy to obtain a lower price, others for social or redistributive rationales, and yet others due to the failures of the formal economy in terms of the availability, speed and quality of provision. The implications for theorizing and tackling the informal economy are then explored.
- Published
- 2016
45. A Review on Multi-roles of Women and Their Influence on the Change of Functional Structure in the Farmer's Household
- Author
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Ida Rosada and Nurliani
- Subjects
Consumption (economics) ,Labour economics ,Descriptive statistics ,business.industry ,media_common.quotation_subject ,Public sector ,Time allocation ,functional structure of the household ,Multi-roles ,informal sector ,General Medicine ,Working time ,Financial management ,Economics ,Wife ,Time management ,Demographic economics ,business ,media_common - Abstract
Multi-roles of women in domestic sectors and public sectors have basically affected behavior, structure, function, and construction of socio-culture of the farmer's household. Objective of the research were: 1) to identify patterns of the work division and working time division for women, 2) to analyze the change of functional structure in the farmer's family, such as: the change in interaction pattern, decision-making pattern, and financial management pattern. The research used a qualitative approach, data collecting technique through observation, interview, and documentation on the farmer's household. Data analysis used a descriptive analysis. Results of the research showed that 1) time allocation to do the household chores is about 13.16 hours/day and to make a living is about 10.94 hours/day. 2) Internal interaction in the family is about 5.23 hours/day on average and external interaction is 6.32 hours/day on average. Managing the decision in the household, which is decided by the wife herself, includes activities in arranging the needs in the kitchen and choosing menu for consumption. Managing analogous decision-making between husband and wife is on activities that organize the interaction pattern and time management in activity outside the household. Concerning with financial management, women earn Rp 890,500/month on average.
- Published
- 2016
46. Development of consumer services urban population Irkutsk region in the 1990s
- Author
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T. P. Urozhaeva
- Subjects
Consumption (economics) ,Service (business) ,Informal sector ,media_common.quotation_subject ,General Medicine ,computer.software_genre ,Type of service ,State (polity) ,Systems management ,Quality (business) ,Market transformation ,Business ,Marketing ,computer ,media_common - Abstract
The article presents an analysis of the development of consumer services in the industrial cities Priangarye in the 1990s. The author considers the problem of transition from the state of service centers to private service companies, which inevitably led to the destruction of previously existing branch system management and operation of services and amenities. In general, consumer services businesses throughout the 1990s. complex path of market transformation, conversion activities, some of them completely disappeared. For the development of consumer services were characterized by the following problems: a low level of consumption of many types of services, focus on the middlesatisfaction and well-off sectors of society; constant comments from consumers and regulatory authorities on the quality of services provided; a significant proportion of the services rendered in the informal economy; difficulty in obtaining resources. However, there were positive developments: the speed and quality of performance of orders increased, the range of services expanded, new types of services that better meet consumer demand.
- Published
- 2016
47. Formal/informal employment and urban food security in Sub-Saharan Africa
- Author
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Kurt B. Waldman, Tom Evans, Cascade Tuholske, and Jordan Blekking
- Subjects
Consumption (economics) ,Food security ,Index (economics) ,010504 meteorology & atmospheric sciences ,Informal sector ,digestive, oral, and skin physiology ,Geography, Planning and Development ,0211 other engineering and technologies ,021107 urban & regional planning ,Forestry ,Context (language use) ,02 engineering and technology ,01 natural sciences ,Purchasing ,Geography ,Tourism, Leisure and Hospitality Management ,Urbanization ,Population growth ,Socioeconomics ,0105 earth and related environmental sciences ,General Environmental Science - Abstract
Sub-Saharan Africa (SSA) is expected to add nearly 800 million urban residents by 2050. Due to this rapid urban population increase there is an urgent need to understand the drivers of urban food security across the region. Understanding food security in an urban environment is difficult due to the complexity of the relationships between urban consumers and food suppliers. Unlike rural communities, urban residents produce little of their own food, and are largely reliant on food suppliers to meet their dietary needs. Identifying urban food insecure households is further complicated by the lack of food security metrics specifically designed for the urban context. We use household-level data from 718 low-income households in Lusaka, Zambia, to assess urban food security through two measures, the Food Consumption Score (FCS) and the Coping Strategies Index (CSI). Our assessment investigates the association between food security and different employment types across the city, with particular attention paid to spatial variance of outcomes and statistical differences between households with majority formal or informal employment. Our study reveals three substantial findings. First, we find statistically significant differences in FCS and CSI of households predominantly engaged with formal employment over households engaged in informal employment. Secondly, we find significant associations between purchasing food from informal and formal food suppliers and the use of coping strategies and consumption of higher calorie foods. Lastly, we identify substantial challenges in using FCS and CSI to evaluate urban food security. Both metrics are predicated on underlying assumptions that may not accurately represent household food consumption and coping strategies in urban areas of SSA.
- Published
- 2020
48. Informal Economy and Financial Development in West African Economic and Monetary Union Countries (WAEMU): Role of Institutions
- Author
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Aicha Tiendrebeogo
- Subjects
Consumption (economics) ,Informal sector ,Real gross domestic product ,media_common.quotation_subject ,Scale (social sciences) ,Development economics ,Unemployment ,Per capita ,Economics ,Economic and monetary union ,Public institution ,media_common - Abstract
Informal economy is highly developed in sub-Saharan African countries, particularly, in West African Economic and Monetary Union Countries (WAEMU). In fact, the size of informal economy has been around 50% of GDP in recent years, despite the efforts made by international institutions (IMF and the African Union (AU)) to contain its development. It should be noted that informality increase has consequences on economy. On the one hand, a thriving informal economy can cause serious difficulties for policymakers because official indicators on unemployment, labor force, income, and consumption are unreliable. A policy based on wrong official indicators may be ineffective or even worse. On the other hand, a large amount of informality is found to be detrimental to economic growth. Notwithstanding these facts, this large size of informality is accompanied by a financial sector that is struggling to develop, despite the various efforts of the authorities in charge of this sector. Added to this is the low quality of public institutions in these countries. Based on these facts, the aims of this research is to analyze the effect of financial development on the development of informality, but also the non-linear relationship between informal economy, financial development and the quality of institutions, in of the West African Economic and Monetary Union countries (WAEMU), over period of 1991 to 2017. For this purpose, pooled mean group (PMG) model is used to analyze the effect of financial development on the informal economy. And for the non-linear analysis, threshold model specification (Panel Threshold Regression: PTR) is used. The results show that for financial development to contribute to reducing the size of the informal economy, the quality of institutions must reach a threshold of 0.575 on a scale of 0 to 1. It also shows that real GDP per capita and education attainment have a negative effect on informality. On the other hand, the unemployment rate, the rate of urbanization and the share of agriculture in GDP have a positive effect on informality.
- Published
- 2020
49. Government Debt, Government Spending, and Private Sector Behavior: Reply.
- Author
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Kormendi, Roger C. and Meguire, Philip
- Subjects
FISCAL policy ,PUBLIC debts ,PUBLIC spending ,PRIVATE sector ,MACROECONOMICS ,CONSUMPTION (Economics) ,INFORMAL sector - Abstract
Authors of this article present a reply to the comment made by economists James R. Barth, George Iden and Frank S. Russek on their article related to government debt, spending and private sector behavior. According to the authors, the effect of fiscal policy on private sector behavior has long been an important and controversial issue in macroeconomics. The "Consolidated Approach" to the analysis of the government and private sectors, is robust to disaggregating government debt into its federal and state and local components; valuing government debt at par instead of market; and varying the sample period. Taken one at a time, these explorations support the Consolidated Approach. Barth and colleagues do find that specifications incorporating either exploration, occasionally yield coefficients not predicted by the Consolidated Approach. Modigliani and Sterling "rely on the Life Cycle Hypothesis" to derive an empirical consumption relation which the claim admits the Ricardian Equivalence Proposition. With respect to Modigliani and Sterling, the authors show that their formulation imposes implicit restrictions that are rejected by the data. Moreover, in contrast to the Consolidated Approach, their conclusions do not hold when their sample is extended to include the Great Depression and World War II years.
- Published
- 1986
50. MARKET VS. RATIONING: THE CASE OF SOVIET HOUSING.
- Author
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Alexeev, Michael
- Subjects
ECONOMISTS ,COMMERCIAL products ,RATIONING ,CONSUMPTION (Economics) ,INFORMAL sector ,HOUSING ,ECONOMICS - Abstract
Abstract--Economists devote considerable effort to the analysis of various forms of non-price rationing. These analyses generally disregard forces which act to foil rationing schemes. Even with a commodity which seems to be easy to control, however, in a system with extensive rationing experience, nonprice rationing schemes can be circumvented. This thesis is examined for the case of housing distribution in the USSR utilizing the data from a survey of recent Soviet emigres. It is shown that administrative rationing of Soviet urban housing is partially replaced by market forces acting usually through the second economy. [ABSTRACT FROM AUTHOR]
- Published
- 1988
- Full Text
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