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by: Pablo Fajnzylber, Guillermo E. Perry, William F. Maloney, Omar Arias, Andrew Mason, Jaime Saavedra-Chanduvi
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Informality: Exit and Exclusion analyzes informality in Latin
America, exploring root causes and reasons for and implications of its
growth. The authors use two distinct but complementary lenses:
informality driven by "exclusion"' from state benefits or
the circuits of the modern economy, and driven by voluntary
"exit" decisions resulting from private cost-benefit
calculations that lead workers and firms to opt out of formal
institutions. They find both lenses have considerable explanatory power
to understand the causes and consequences of informality in the region.
Informality: Exit and Exclusion concludes that reducing
informality levels and overcoming the "culture of
informality" will require actions to increase aggregate
productivity in the economy, reform poorly designed regulations and
social policies, and increase the legitimacy of the state by improving
the quality and fairness of state institutions and policies. Although
the study focuses on Latin America, its analysis, approach, and
conclusions are relevant for all developing countries.
Informality: Exit and Exclusion will be of value to
professionals and academics studying labor market, social protection,
tax, microenterprise development, and urban public policies, and to
those working in government, international organizations, research
institutions, and universities.
- Shipping Weight: 1.44 lbs (0.65 kgs)
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