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Temporary employment, informality, poverty and inequality

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  • Tapias, J.

Abstract

An essential tool in the fight against poverty is the generation of decent jobs through an equitable and inclusive labor market. To achieve this, two fronts of struggle must be addressed. The first is informality, which causes many workers in developing countries to have precarious working conditions and low incomes. The second refers to the misuse of temporary contracts. Temporary jobs are associated with instability and wage penalties. Therefore, a policy aimed at obtaining decent jobs to overcome poverty must include these two battlefronts. In this sense, a Computable General Equilibrium (CGE) model with temporary, permanent, and informal work is developing. We show some interesting relationships through the equations formulated so far. The future results of this work will be helpful to address and generate policies aimed at achieving decent jobs.

Suggested Citation

  • Tapias, J., 2021. "Temporary employment, informality, poverty and inequality," Documentos de trabajo - Alianza EFI 20047, Alianza EFI.
    • Handle: RePEc:col:000561:020047
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    References listed on IDEAS

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    More about this item

    Keywords

    Labor informality; temporary employment; poverty; inequality; macroeconomics.;
    All these keywords.

    JEL classification:

    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • E26 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Informal Economy; Underground Economy
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

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