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Concepts, Measurement and Trends

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Measuring informal employment has remained a challenge and requires the use of a variety of sources and methods, including the use of data for self‐employment as a proxy indicator. Although patterns are not uniform, informal employment persists at a high level in all parts of the developing world, with the highest level seen in sub‐Saharan Africa where more than twothirds of people in the non‐agricultural sector are working in informal jobs. Important gender differences can be seen in informal employment, with patterns in job status and earnings differing distinctly between men and women. Moreover, the differences in earnings between formal and informal work depend on the job status with informal entrepreneurs being better off relative to informal employees.
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Document Type: Review Article

Publication date: 01 March 2009

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