Ferry Hadiyanto () (Department of Economics, Padjadjaran University) Sutyastie Sumitro Remi (Department of Economics, Padjadjaran University)
Abstract
In many countries, especially in developing countries, the insufficient formal jobs drives people to look for non-formal job. The effect of this process stimulates informal sector. The problem of squatter appears as a cause of their activities then it creates externality that is congestion. Given this fact, we find that there is a strong relationship between the existence of informal sector activities and congestion.
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