Formal-informal Economy Linkages: Some Conceptual and Empirical Issues

Year Published 2006
Business unit: Special Projects
Resource type: Research reports
Research report: HSRC
File type: PDF
Theme(s): Economic Development, Employment & labour markets, Labour


This paper aims to develop a framework for thinking about how the linkages between the formal and informal economies may be enhanced. We begin by providing a conceptual schema for understanding the possible linkages before moving on to some empirical validation. We examine how the national accounts deals with the informal economy. We then examine linkages between employment in the formal and the informal economy.

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