IDEAS home Printed from https://ideas.repec.org/a/mes/postke/v46y2023i1p65-86.html
   My bibliography  Save this article

A Kaleckian model of growth and distribution considering the effects of the urban informal sector

Author

Listed:
  • Henrique Paiva
  • João Gabriel Oliveira
  • Joanilio Teixeira

Abstract

In this paper we present an effort to integrate the informal sector into a neo-Kaleckian growth and distribution model. While informality is a relevant issue to all developing countries, our work is motivated mainly by the Brazilian case, where recent growth of informal employment occurs amid stagnation of the formal sector. We seek to shed light on the relationship between the expansion of both sectors and their influences on economic performance, using as theoretical background the reproduction scheme from Kalecki, now considering the informal sector into the model. Also, we seek to examine the extent to which the expansion of the informal activities can be helpful or harmful for the formal economy in the long run. Our model is consistent with observed empirical facts and reinforces some theoretical and empirical results, for instance, the resilience of the informal activity, its growth at times of economic expansion as well as in times of recession, and its ultimate dependence on the formal economy.

Suggested Citation

  • Henrique Paiva & João Gabriel Oliveira & Joanilio Teixeira, 2023. "A Kaleckian model of growth and distribution considering the effects of the urban informal sector," Journal of Post Keynesian Economics, Taylor & Francis Journals, vol. 46(1), pages 65-86, January.
  • Handle: RePEc:mes:postke:v:46:y:2023:i:1:p:65-86
    DOI: 10.1080/01603477.2022.2134033
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/01603477.2022.2134033
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1080/01603477.2022.2134033?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:postke:v:46:y:2023:i:1:p:65-86. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MPKE20 .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.