Effects of Colombia's Social Protection System on Workers' Choice between Formal and Informal Employment

This paper examines whether the Colombian government's expansion of social programs in the early 1990s, particularly the publicly provided health insurance, discouraged formal employment. Using household survey data and variation across munici...

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Main Authors: Camacho, Adriana, Conover, Emily, Hoyos, Alejandro
Format: Policy Research Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2013
Subjects:
SEX
Online Access:http://documents.worldbank.org/curated/en/2013/08/18092449/effects-colombias-social-protection-system-workers-choice-between-formal-informal-employment
http://hdl.handle.net/10986/15995
id okr-10986-15995
recordtype oai_dc
spelling okr-10986-159952021-04-23T14:03:27Z Effects of Colombia's Social Protection System on Workers' Choice between Formal and Informal Employment Camacho, Adriana Conover, Emily Hoyos, Alejandro AGE CATEGORY AGE GROUP BUSINESS CYCLES CAPACITY BUILDING CHILD HEALTH CITIES CITIZENS CULTURAL CHANGE DENTAL CARE DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DEVELOPMENT POLICY DISABILITY DOMESTIC WORKERS DOWNWARD BIAS ECONOMIC GROWTH ECONOMIC POLICY ELDERLY EMPLOYEE ENFORCEMENT OF LAWS EXTENDED FAMILIES FAMILY COMPOSITION FAMILY MEMBERS FINANCIAL INSTITUTIONS FIRING COSTS FIRM SIZE HEALTH CARE HEALTH CARE COVERAGE HEALTH CARE REFORM HEALTH EDUCATION HEALTH EXPENDITURES HEALTH INSURANCE HEALTH OUTCOMES HEALTH PLAN HEALTH REFORM HEALTH REFORMS HEALTH SECTOR HEALTH SECTOR REFORM HEALTH SERVICES HOSPITAL HOSPITAL CARE HOUSEHOLD CHARACTERISTICS HOUSEHOLD LEVEL HOUSEHOLD SIZE HOUSEHOLD SURVEY ILLNESSES INCOME INFORMAL EMPLOYMENT INFORMAL LABOR MARKET INFORMAL SECTOR JOB SECURITY JOBS KIDS LABOR FORCE LABOR LAWS LABOR MARKET REFORMS LABOR MARKET RIGIDITIES LABOR MARKETS LABOR REGULATION LABOR REGULATIONS LABOR RELATIONS LABOUR LABOUR MARKET LABOUR MARKET REFORM LAWS LEATHER INDUSTRIES LEGISLATIVE CHANGES LEVELS OF EDUCATION LIVING CONDITIONS MARITAL STATUS MATERNITY CARE MEDICINES MINIMUM WAGE MOTHER NATIONAL LEVEL NATURAL GAS NEWBORNS NON-WAGE COSTS OCCUPATION OLDER PEOPLE OUTPATIENT SERVICES PAYROLL TAXES PENSIONS POLICY DECISIONS POLICY DISCUSSIONS POLICY RESEARCH POLICY RESEARCH WORKING PAPER POPULATION CENSUS PREVIOUS RESULTS PREVIOUS STUDIES PRIVATE SECTOR PRIVATE SECTOR WORKERS PROBABILITY PRODUCTIVITY PROGRESS PUBLIC ADMINISTRATION PUBLIC HEALTH PUBLIC HEALTH INSURANCE PUBLIC POLICY PUBLIC SECTOR EMPLOYMENT RETAIL TRADE SECRETARY OF HEALTH SEX SIBLINGS SICK LEAVE SOCIAL BENEFITS SOCIAL POLICY SOCIAL PROGRAMS SOCIAL SECURITY SOCIAL SERVICES SOCIAL WELFARE SPOUSE SPOUSES UNEMPLOYED UNEMPLOYED POOR UNEMPLOYMENT UNINTENDED CONSEQUENCE UNIVERSAL HEALTH INSURANCE COVERAGE UNIVERSITY EDUCATION UNPAID FAMILY WORKERS WAGES WORKER WORKERS WORKING-AGE POPULATION WORKPLACE YOUNG PEOPLE YOUNG WORKERS This paper examines whether the Colombian government's expansion of social programs in the early 1990s, particularly the publicly provided health insurance, discouraged formal employment. Using household survey data and variation across municipalities in the onset of interviews for the SISBEN, the instrument used to identify beneficiaries for public health insurance, it shows robust and consistent estimates of an increase in informal employment of approximately 4 percentage points. Similar results are obtained using an alternative dataset, consisting of a panel of individuals interviewed for the first and second SISBEN. The findings suggest that marginal individuals optimized when deciding whether to participate in the formal sector. 2013-10-01T20:57:58Z 2013-10-01T20:57:58Z 2013-08 http://documents.worldbank.org/curated/en/2013/08/18092449/effects-colombias-social-protection-system-workers-choice-between-formal-informal-employment http://hdl.handle.net/10986/15995 English en_US Policy Research Working Paper;No. 6564 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Latin America & Caribbean Colombia
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic AGE CATEGORY
AGE GROUP
BUSINESS CYCLES
CAPACITY BUILDING
CHILD HEALTH
CITIES
CITIZENS
CULTURAL CHANGE
DENTAL CARE
DEVELOPING COUNTRIES
DEVELOPMENT ECONOMICS
DEVELOPMENT POLICY
DISABILITY
DOMESTIC WORKERS
DOWNWARD BIAS
ECONOMIC GROWTH
ECONOMIC POLICY
ELDERLY
EMPLOYEE
ENFORCEMENT OF LAWS
EXTENDED FAMILIES
FAMILY COMPOSITION
FAMILY MEMBERS
FINANCIAL INSTITUTIONS
FIRING COSTS
FIRM SIZE
HEALTH CARE
HEALTH CARE COVERAGE
HEALTH CARE REFORM
HEALTH EDUCATION
HEALTH EXPENDITURES
HEALTH INSURANCE
HEALTH OUTCOMES
HEALTH PLAN
HEALTH REFORM
HEALTH REFORMS
HEALTH SECTOR
HEALTH SECTOR REFORM
HEALTH SERVICES
HOSPITAL
HOSPITAL CARE
HOUSEHOLD CHARACTERISTICS
HOUSEHOLD LEVEL
HOUSEHOLD SIZE
HOUSEHOLD SURVEY
ILLNESSES
INCOME
INFORMAL EMPLOYMENT
INFORMAL LABOR MARKET
INFORMAL SECTOR
JOB SECURITY
JOBS
KIDS
LABOR FORCE
LABOR LAWS
LABOR MARKET REFORMS
LABOR MARKET RIGIDITIES
LABOR MARKETS
LABOR REGULATION
LABOR REGULATIONS
LABOR RELATIONS
LABOUR
LABOUR MARKET
LABOUR MARKET REFORM
LAWS
LEATHER INDUSTRIES
LEGISLATIVE CHANGES
LEVELS OF EDUCATION
LIVING CONDITIONS
MARITAL STATUS
MATERNITY CARE
MEDICINES
MINIMUM WAGE
MOTHER
NATIONAL LEVEL
NATURAL GAS
NEWBORNS
NON-WAGE COSTS
OCCUPATION
OLDER PEOPLE
OUTPATIENT SERVICES
PAYROLL TAXES
PENSIONS
POLICY DECISIONS
POLICY DISCUSSIONS
POLICY RESEARCH
POLICY RESEARCH WORKING PAPER
POPULATION CENSUS
PREVIOUS RESULTS
PREVIOUS STUDIES
PRIVATE SECTOR
PRIVATE SECTOR WORKERS
PROBABILITY
PRODUCTIVITY
PROGRESS
PUBLIC ADMINISTRATION
PUBLIC HEALTH
PUBLIC HEALTH INSURANCE
PUBLIC POLICY
PUBLIC SECTOR EMPLOYMENT
RETAIL TRADE
SECRETARY OF HEALTH
SEX
SIBLINGS
SICK LEAVE
SOCIAL BENEFITS
SOCIAL POLICY
SOCIAL PROGRAMS
SOCIAL SECURITY
SOCIAL SERVICES
SOCIAL WELFARE
SPOUSE
SPOUSES
UNEMPLOYED
UNEMPLOYED POOR
UNEMPLOYMENT
UNINTENDED CONSEQUENCE
UNIVERSAL HEALTH INSURANCE COVERAGE
UNIVERSITY EDUCATION
UNPAID FAMILY WORKERS
WAGES
WORKER
WORKERS
WORKING-AGE POPULATION
WORKPLACE
YOUNG PEOPLE
YOUNG WORKERS
spellingShingle AGE CATEGORY
AGE GROUP
BUSINESS CYCLES
CAPACITY BUILDING
CHILD HEALTH
CITIES
CITIZENS
CULTURAL CHANGE
DENTAL CARE
DEVELOPING COUNTRIES
DEVELOPMENT ECONOMICS
DEVELOPMENT POLICY
DISABILITY
DOMESTIC WORKERS
DOWNWARD BIAS
ECONOMIC GROWTH
ECONOMIC POLICY
ELDERLY
EMPLOYEE
ENFORCEMENT OF LAWS
EXTENDED FAMILIES
FAMILY COMPOSITION
FAMILY MEMBERS
FINANCIAL INSTITUTIONS
FIRING COSTS
FIRM SIZE
HEALTH CARE
HEALTH CARE COVERAGE
HEALTH CARE REFORM
HEALTH EDUCATION
HEALTH EXPENDITURES
HEALTH INSURANCE
HEALTH OUTCOMES
HEALTH PLAN
HEALTH REFORM
HEALTH REFORMS
HEALTH SECTOR
HEALTH SECTOR REFORM
HEALTH SERVICES
HOSPITAL
HOSPITAL CARE
HOUSEHOLD CHARACTERISTICS
HOUSEHOLD LEVEL
HOUSEHOLD SIZE
HOUSEHOLD SURVEY
ILLNESSES
INCOME
INFORMAL EMPLOYMENT
INFORMAL LABOR MARKET
INFORMAL SECTOR
JOB SECURITY
JOBS
KIDS
LABOR FORCE
LABOR LAWS
LABOR MARKET REFORMS
LABOR MARKET RIGIDITIES
LABOR MARKETS
LABOR REGULATION
LABOR REGULATIONS
LABOR RELATIONS
LABOUR
LABOUR MARKET
LABOUR MARKET REFORM
LAWS
LEATHER INDUSTRIES
LEGISLATIVE CHANGES
LEVELS OF EDUCATION
LIVING CONDITIONS
MARITAL STATUS
MATERNITY CARE
MEDICINES
MINIMUM WAGE
MOTHER
NATIONAL LEVEL
NATURAL GAS
NEWBORNS
NON-WAGE COSTS
OCCUPATION
OLDER PEOPLE
OUTPATIENT SERVICES
PAYROLL TAXES
PENSIONS
POLICY DECISIONS
POLICY DISCUSSIONS
POLICY RESEARCH
POLICY RESEARCH WORKING PAPER
POPULATION CENSUS
PREVIOUS RESULTS
PREVIOUS STUDIES
PRIVATE SECTOR
PRIVATE SECTOR WORKERS
PROBABILITY
PRODUCTIVITY
PROGRESS
PUBLIC ADMINISTRATION
PUBLIC HEALTH
PUBLIC HEALTH INSURANCE
PUBLIC POLICY
PUBLIC SECTOR EMPLOYMENT
RETAIL TRADE
SECRETARY OF HEALTH
SEX
SIBLINGS
SICK LEAVE
SOCIAL BENEFITS
SOCIAL POLICY
SOCIAL PROGRAMS
SOCIAL SECURITY
SOCIAL SERVICES
SOCIAL WELFARE
SPOUSE
SPOUSES
UNEMPLOYED
UNEMPLOYED POOR
UNEMPLOYMENT
UNINTENDED CONSEQUENCE
UNIVERSAL HEALTH INSURANCE COVERAGE
UNIVERSITY EDUCATION
UNPAID FAMILY WORKERS
WAGES
WORKER
WORKERS
WORKING-AGE POPULATION
WORKPLACE
YOUNG PEOPLE
YOUNG WORKERS
Camacho, Adriana
Conover, Emily
Hoyos, Alejandro
Effects of Colombia's Social Protection System on Workers' Choice between Formal and Informal Employment
geographic_facet Latin America & Caribbean
Colombia
relation Policy Research Working Paper;No. 6564
description This paper examines whether the Colombian government's expansion of social programs in the early 1990s, particularly the publicly provided health insurance, discouraged formal employment. Using household survey data and variation across municipalities in the onset of interviews for the SISBEN, the instrument used to identify beneficiaries for public health insurance, it shows robust and consistent estimates of an increase in informal employment of approximately 4 percentage points. Similar results are obtained using an alternative dataset, consisting of a panel of individuals interviewed for the first and second SISBEN. The findings suggest that marginal individuals optimized when deciding whether to participate in the formal sector.
format Publications & Research :: Policy Research Working Paper
author Camacho, Adriana
Conover, Emily
Hoyos, Alejandro
author_facet Camacho, Adriana
Conover, Emily
Hoyos, Alejandro
author_sort Camacho, Adriana
title Effects of Colombia's Social Protection System on Workers' Choice between Formal and Informal Employment
title_short Effects of Colombia's Social Protection System on Workers' Choice between Formal and Informal Employment
title_full Effects of Colombia's Social Protection System on Workers' Choice between Formal and Informal Employment
title_fullStr Effects of Colombia's Social Protection System on Workers' Choice between Formal and Informal Employment
title_full_unstemmed Effects of Colombia's Social Protection System on Workers' Choice between Formal and Informal Employment
title_sort effects of colombia's social protection system on workers' choice between formal and informal employment
publisher World Bank, Washington, DC
publishDate 2013
url http://documents.worldbank.org/curated/en/2013/08/18092449/effects-colombias-social-protection-system-workers-choice-between-formal-informal-employment
http://hdl.handle.net/10986/15995
_version_ 1764431971501473792