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Purchasing from Informal Markets: Evidence from Serbia

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Author Info

  • Barry Reilly
  • Gorana Krstic
  • Matteo Cominetta

Abstract

This paper exploits a relatively unique survey conducted in Serbia in late 2000 to examine the determinants of expenditures on goods and services provided through informal outlets. The research reported in this paper adds to a relatively small existing literature on the topic. The empirical analysis is tentatively situated within the context of an Engel curve approach and the influence of informal ‘networks’ on purchasing behaviour is assessed. Our empirical analysis suggests that the share of purchases from informal markets is inversely related to income and there is a strong role for ‘network’ effects.

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Bibliographic Info

Article provided by Duncker & Humblot, Berlin in its journal Applied Economics Quarterly.

Volume (Year): 52 (2006)
Issue (Month): 3 ()
Pages: 30-50

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Handle: RePEc:aeq:aeqaeq:v52_y2006_i3_q3_p30-50

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Related research

Keywords: Informal Sector Purchases; Serbia; Interval Regression;

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Cited by:
  1. Thiele, Rainer & Böhme, Marcus, 2011. "Is the Informal Sector Constrained from the Demand Side? Evidence for Six West African Capitals," Open Access Publications from Kiel Institute for the World Economy 48307, Kiel Institute for the World Economy (IfW).
  2. Casola, Luca & Kemp, Simon & Mackenzie, Alexander, 2009. "Consumer decisions in the black market for stolen or counterfeit goods," Journal of Economic Psychology, Elsevier, vol. 30(2), pages 162-171, April.
  3. Marcus Böhme, Rainer Thiele, 2012. "Informal-formal Linkages and Informal Enterprise Performance in Urban West Africa," Kiel Working Papers 1751, Kiel Institute for the World Economy.

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