IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

Do payroll tax cuts boost formal jobs in developing countries?

Listed author(s):
  • Carmen Pagés

    (Inter-American Development Bank, USA, and IZA, Germany)

Informal employment accounts for more than half of total employment in Latin America and the Caribbean, and an even higher percentage in Africa and South Asia. It is associated with lack of social insurance, low tax collection, and low productivity jobs. Lowering payroll taxes is a potential lever to increase formal employment and extend social insurance coverage among the labor force. However, the effects of tax cuts vary across countries, often resulting in large wage shifts but relatively small employment effects. Cutting payroll taxes requires levying other taxes to compensate for lost revenue, which may be difficult in developing economies.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://wol.iza.org/uploads/articles/345/pdfs/Do-payroll-tax-cuts-boost-formal-jobs-in-developing-countries.pdf
Download Restriction: no

File URL: http://wol.iza.org/articles/Do-payroll-tax-cuts-boost-formal-jobs-in-developing-countries
Download Restriction: no

Article provided by Institute for the Study of Labor (IZA) in its journal IZA World of Labor.

Volume (Year): (2017)
Issue (Month): (March)
Pages: 345-345

as
in new window

Handle: RePEc:iza:izawol:journl:2017:n:345
Contact details of provider: Postal:
IZA, P.O. Box 7240, D-53072 Bonn, Germany

Fax: +49 228 3894 180
Web page: http://www.iza.org

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:iza:izawol:journl:2017:n:345. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Bloomsbury Information Ltd)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.