Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/152376 
Year of Publication: 
2014
Citation: 
[Journal:] IZA Journal of Labor & Development [ISSN:] 2193-9020 [Volume:] 3 [Publisher:] Springer [Place:] Heidelberg [Year:] 2014 [Pages:] 1-24
Publisher: 
Springer, Heidelberg
Abstract: 
This paper defines informal sector employment and decomposes the difference in earnings between formal and informal sector employees in Tajikistan for 2007. Using quantile regression decomposition technique proposed by JAE, 20:445-465, 2005 and considering self-selection of individuals into different employment types, we find a significant informal employment wage premium across the whole earnings distribution. Taking advantage of RES, 90:290-299, 2008matching approach and considering the possibility of misleading results due to different observed characteristics of formal and informal workers, we still find a wage gap in favour of informal sector workers.
Subjects: 
Formal/informal employment
Quantile regression decomposition
Matching
Endogeneity
JEL: 
J21
J23
J24
J31
Persistent Identifier of the first edition: 
Creative Commons License: 
cc-by Logo
Document Type: 
Article

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