Got it
We use Google Analytics in compliance with German Data Protection Law. The site gathers data for the sole purpose of improving its services. You're able to decline now or later. By using our services, you agree to our use of cookies. You'll find more information here.

Informal Employment in a Growing and Globalizing Low-Income Country

The American Economic Review, 105(5), 545-550.

by Nina Pavcnik, Brian McCaig | Friday, May 01, 2015

We document several facts about workforce transitions from the informal to the formal sector in Vietnam, a fast growing, industrializing, and low-income country. First, younger workers, particularly migrants, are more likely to work in the formal sector and stay there permanently. Second, the decline in the aggregate share of informal employment occurs through changes between and within birth cohorts. Third, younger, educated, male, and urban workers are more likely to switch to the formal sector than other workers initially in the informal sector. Poorly educated, older, female, rural workers face little prospect of formalization. Fourth, formalization coincides with occupational upgrading.

McCaig, B., & Pavcnik, N. (2015). Informal Employment in a Growing and Globalizing Low-Income Country. The American Economic Review, 105(5), 545-550.

For further reading please click here.

Click here for a brief introduction of the project.