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Unionization and Informal Economy

  • Ceyhun Elgin

In this paper I investigate the relationship between unionization and the size of the informal economy. Using a cross-country panel data for 30 countries over the period from 1960 to 2009, I find a strong and robust negative correlation between unionization and the size of the informal economy.

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File URL: http://www.econ.boun.edu.tr/public_html/RePEc/pdf/201211.pdf
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Paper provided by Bogazici University, Department of Economics in its series Working Papers with number 2012/11.

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Date of creation: Nov 2012
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Handle: RePEc:bou:wpaper:2012/11
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  1. Elisabetta Magnani & David Prentice, 2000. "Did Globalization Reduce Unionisation? Evidence from U.S. Manufacturing," Working Papers 2000.17, School of Economics, La Trobe University.
  2. Chaudhuri, Sarbajit & Mukhopadhyay, Ujjaini, 2009. "Revisiting the Informal Sector: A General Equilibrium Approach," MPRA Paper 52135, University Library of Munich, Germany.
  3. Ceyhun Elgin & Oguz Oztunali, 2012. "Shadow Economies around the World: Model Based Estimates," Working Papers 2012/05, Bogazici University, Department of Economics.
  4. Zenou, Yves, 2008. "Job search and mobility in developing countries. Theory and policy implications," Journal of Development Economics, Elsevier, vol. 86(2), pages 336-355, June.
  5. John T. Addison & Alex Bryson & André Pahnke & Paulino Teixeira, 2010. "Slip Sliding Away: Further Union Decline in Germany and Britain," CEP Discussion Papers dp0971, Centre for Economic Performance, LSE.
  6. Francisco Carneiro & Andrew Henley, 1998. "Wage determination in Brazil: The growth of union bargaining power and informal employment," Journal of Development Studies, Taylor & Francis Journals, vol. 34(4), pages 117-138.
  7. Ihrig, Jane & Moe, Karine S., 2004. "Lurking in the shadows: the informal sector and government policy," Journal of Development Economics, Elsevier, vol. 73(2), pages 541-557, April.
  8. Andreas Buehn & Friedrich Schneider, 2012. "Shadow economies around the world: novel insights, accepted knowledge, and new estimates," International Tax and Public Finance, Springer, vol. 19(1), pages 139-171, February.
  9. John DiNardo & David S. Lee, 2002. "The Impact of Unionization on Establishment Closure: A Regression Discontinuity Analysis of Representation Elections," NBER Working Papers 8993, National Bureau of Economic Research, Inc.
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