IDEAS home Printed from https://ideas.repec.org/p/ris/giamwp/2011_004.html
   My bibliography  Save this paper

Informal Employment and Family Support: An Evolutionary Analysis

Author

Listed:
  • Renginar Senses Dayangac

    (Galatasaray University Economic Research Center)

  • Bilge Ozturk Goktuna

    (Galatasaray University Economic Research Center)

Abstract

The model presents the dynamics and the equilibrium of an overlapping generation economy when there is informal employment, a pension system and altruistic agents. The model inspires from stylised facts on developping and Euro-Mediteranean countries where family plays a central role in risk insurance. The rational is emphasised by lower costs compared to private and public insurance systems. Given an initial distribution of the informally employed individuals, the model captures the e¤ects of social security decisions and anticipated bequests on the preference of the agents for formal or informal employment. The impact of scal policies on the distribution of employment to formal and informal categories is analysed through the political competition. We show that opportunist behaviour would amplify the relative size of the informal employment.

Suggested Citation

  • Renginar Senses Dayangac & Bilge Ozturk Goktuna, 2011. "Informal Employment and Family Support: An Evolutionary Analysis," GIAM Working Papers 11-4, Galatasaray University Economic Research Center.
  • Handle: RePEc:ris:giamwp:2011_004
    as

    Download full text from publisher

    File URL: http://giam.gsu.edu.tr/wp-content/uploads/2014/07/WP-11-04.pdf
    File Function: Full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Juan Ramón de Laiglesia, 2008. "Living with Duality: Fiscal Policy and Informality in Latin America," OECD Development Centre Policy Insights 81, OECD Publishing.
    2. González de la Rocha, Mercedes, 1995. "The urban family and poverty in Latin America," Libros de la CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), number 2300, September.
    3. Johannes Jütting & Jante Parlevliet & Theodora Xenogiani, 2008. "Informal Employment Re-loaded," OECD Development Centre Working Papers 266, OECD Publishing.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Goktuna, Bilge Ozturk & Dayangac, Renginar, 2011. "Rethinking the informal labour from an evolutionary point of view," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 40(5), pages 609-615.
    2. Titelman, Daniel & Vera, Cecilia & Perez Caldentey, Esteban, 2008. "The Latin American experience in pension system reform: Coverage, fiscal issues and possible implications for China," MPRA Paper 13730, University Library of Munich, Germany.
    3. El-Mallakh, Nelly & Maurel, Mathilde & Speciale, Biagio, 2018. "Arab spring protests and women's labor market outcomes: Evidence from the Egyptian revolution," Journal of Comparative Economics, Elsevier, vol. 46(2), pages 656-682.
    4. Kan, Elif Oznur & Tansel, Aysit, 2014. "Defining and Measuring Informality in the Turkish Labor Market," MPRA Paper 57739, University Library of Munich, Germany.
    5. World Bank Group, 2015. "Tanzania Mainland Poverty Assessment," World Bank Publications - Reports 22021, The World Bank Group.
    6. Jean Abel Traoré, 2013. "Revisiting the determinants of informal sector in Burkina Faso," Economic Research Guardian, Mutascu Publishing, vol. 3(2), pages 111-145, December.
    7. Erik Jonasson, 2012. "Government Effectiveness and Regional Variation in Informal Employment," Journal of Development Studies, Taylor & Francis Journals, vol. 48(4), pages 481-497, June.
    8. Carmen Diana Deere & Gina E. Alvarado & Jennifer Twyman, 2012. "Gender Inequality in Asset Ownership in Latin America: Female Owners vs Household Heads," Development and Change, International Institute of Social Studies, vol. 43(2), pages 505-530, March.
    9. François Langot & Rossana Merola & Samil Oh, 2022. "Can taxes help ensure a fair globalization?," International Economics, CEPII research center, issue 171, pages 191-213.
    10. Granda, María L. & Zambrano, Carla, 2012. "¿Es sostenible el Régimen Impositivo Simplificado Ecuatoriano?," IDB Publications (Working Papers) 3884, Inter-American Development Bank.
    11. Dagmara Nikulin, 2016. "How To Define And Measure Informal Employment In Developed Countries? A Case Of Poland," GUT FME Working Paper Series A 35, Faculty of Management and Economics, Gdansk University of Technology.
    12. Duman, Anil, 2024. "The Diversity of Informal Employment: a survey of drivers, outcomes, and policies," OSF Preprints yg3t7, Center for Open Science.
    13. Olivier Bargain & Prudence Kwenda, 2014. "The Informal Sector Wage Gap: New Evidence Using Quantile Estimations on Panel Data," Economic Development and Cultural Change, University of Chicago Press, vol. 63(1), pages 117-153.
    14. Gustavo A. García, 2017. "Labor Informality: Choice or Sign of Segmentation? A Quantile Regression Approach at the Regional Level for Colombia," Review of Development Economics, Wiley Blackwell, vol. 21(4), pages 985-1017, November.
    15. Cutler, David M. & Knaul, Felicia & Lozano, Rafael & Mendez, Oscar & Zurita, Beatriz, 2002. "Financial crisis, health outcomes and ageing: Mexico in the 1980s and 1990s," Journal of Public Economics, Elsevier, vol. 84(2), pages 279-303, May.
    16. Slonimczyk, Fabian & Gimpelson, Vladimir, 2013. "Informality and Mobility: Evidence from Russian Panel Data," IZA Discussion Papers 7703, Institute of Labor Economics (IZA).
    17. María Lopez-Ruiz & Fernando G. Benavides & Alejandra Vives & Lucía Artazcoz, 2017. "Informal employment, unpaid care work, and health status in Spanish-speaking Central American countries: a gender-based approach," International Journal of Public Health, Springer;Swiss School of Public Health (SSPH+), vol. 62(2), pages 209-218, March.
    18. Ayca AKARCAY-GURBUZ & Mustafa ULUS, 2011. "Labor Force Status And Income Disparity - Evidence From Turkey," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 34, pages 39-56.
    19. Vigneswara Ilavarasan & Mark R Levy, 2010. "ICTs and Urban Microenterprises: Identifying and Maximizing Opportunities for Economic Development," Working Papers id:2819, eSocialSciences.
    20. Hanan Nazier & Racha Ramadan, 2015. "Informality and Poverty: A Causality Dilemma with Application to Egypt," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 5(4), pages 1-4.

    More about this item

    Keywords

    Informal labour; Overlapping generations; Political competition;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:ris:giamwp:2011_004. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc 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 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: Renginar Senses Dayangac (email available below). General contact details of provider: https://edirc.repec.org/data/giamgtr.html .

    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.