What determines informal hiring? Evidence from the Turkish textile sector
Abstract
Most studies about the shadow economy focus on the estimation of the aggregate size. However, this study aims to address the sectoral or micro aspects of this phenomenon using the data from the textile sector in Turkey. It uses discriminant analysis and ordered and logistic regression models to unveil the determinants of the informal hiring in Turkey. It concludes that high competition, the skill structure of the employees, perceived penalty scheme, and the size of the firms in the sector are important factors of the textile firms hiring informally.Download Info
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Paper provided by Department of Economics, Johannes Kepler University Linz, Austria in its series Economics working papers with number 2006-04.Length:
Date of creation: Jun 2006
Date of revision:
Handle: RePEc:jku:econwp:2006_04
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Web page: http://www.econ.jku.at/
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Related research
Keywords: informal hiring in Turkish textile sector; discriminant analysis; logistic regression model; ordered regression;Find related papers by JEL classification:
- O17 - Economic Development, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
- O5 - Economic Development, Technological Change, and Growth - - Economywide Country Studies
- D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy-Making and Implementation
- H2 - Public Economics - - Taxation, Subsidies, and Revenue
- H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
- H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-08-05 (All new papers)
- NEP-CWA-2006-08-05 (Central & Western Asia)
- NEP-PBE-2006-08-05 (Public Economics)
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