Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/171202
Authors: 
Soares, Rodrigo R.
Haanwinckel, Daniel
Year of Publication: 
2017
Citation: 
[Journal:] IZA World of Labor [ISSN:] 2054-9571 [Year:] 2017 [Issue:] 394
Abstract: 
Developing countries have long been struggling to fight informality, focusing on instruments such as labor legislation enforcement, temporary contracts, and changes in taxes imposed on small firms. However, improvements in the labor force’s schooling and skill level may be more effective in reducing informality in the long term. Higher-skilled workers are typically employed by larger firms that use more capital, and that are more likely to be formal. Additionally, when skilled and unskilled workers are complementary in production, unskilled workers’ wages tend to increase, adding yet another force toward reducing informality.
Subjects: 
informality
labor market
education
minimum wage
Brazil
JEL: 
J24
J31
J46
J64
O17
Persistent Identifier of the first edition: 
Document Type: 
Article

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