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Corrigendum to “Are Informal Self-Employment and Informal Employment as Employee Behaviorally Distinct Labor Force States?” [Economics Letters (2023) 111278]

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  • Flabbi, Luca
  • Tejada, Mauricio M.

Abstract

The paper performs both a parametric and non-parametric analysis to address a fundamental question in the growing literature using search models to study labor market informality: Should informal self-employment and informal employment as an employee be considered two different labor market states? Both analyses strongly reject equality between the two states, cautioning against aggregating them in a common “informality state”. The parametric model identifies that the variation in informal self-employment income and the short duration of informal employee jobs are the primary factors that contribute to the observed differences between these labor market states.
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Suggested Citation

  • Flabbi, Luca & Tejada, Mauricio M., 2024. "Corrigendum to “Are Informal Self-Employment and Informal Employment as Employee Behaviorally Distinct Labor Force States?” [Economics Letters (2023) 111278]," Economics Letters, Elsevier, vol. 241(C).
    • Handle: RePEc:eee:ecolet:v:241:y:2024:i:c:s0165176524003276
    DOI: 10.1016/j.econlet.2024.111843
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    JEL classification:

    • J46 - Labor and Demographic Economics - - Particular Labor Markets - - - Informal Labor Market
    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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