The Determinants of Rising Informality in Brazil : Evidence from Gross Worker Flows

This paper studies gross worker flows to explain the rising informality in Brazilian metropolitan labor markets from 1983 to 2002. This period covers two economic cycles, several stabilization plans, a far-reaching trade liberalization, and change...

Full description

Bibliographic Details
Main Authors: Bosch, Mariano, Goni, Edwin, Maloney, William
Format: Policy Research Working Paper
Language:English
Published: World Bank, Washington, DC 2012
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2007/10/8466542/determinants-rising-informality-brazil-evidence-gross-worker-flows
http://hdl.handle.net/10986/7365
id okr-10986-7365
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic ACCESS TO HEALTH SERVICES
ACCOUNTING
ATTRITION
AVERAGE WAGE
BUSINESS CYCLE
BUSINESS CYCLES
CALCULATIONS
CHECKS
COMPULSORY CONTRIBUTIONS
CONTRIBUTION
CRISES
CURRENCY
DEMAND FOR SERVICES
DEVELOPING COUNTRIES
DEVELOPMENT ECONOMICS
DISGUISED UNEMPLOYMENT
DISMISSAL
DRIVERS
EARNING
EARNINGS
ECONOMIC FLUCTUATIONS
ECONOMIC SLOWDOWN
ELDERLY
EMERGENCY CARE
EMPLOYMENT SPELLS
EQUILIBRIUM UNEMPLOYMENT
ESTIMATED PARAMETERS
EXCHANGE RATE
EXTERNAL SHOCKS
FEDERAL RESERVE
FEWER PEOPLE
FINANCIAL CRISIS
FINDING JOBS
FIRING COSTS
FIRM SIZE
GROSS WAGE
HEALTH CARE
HEALTH CARE REFORM
HEALTH CARE SYSTEM
HEALTH INSURANCE
HEALTH REFORM
HEALTH SECTOR
HEALTH SECTOR REFORM
HEALTH SERVICES
HEALTH SYSTEM
HEALTH SYSTEMS
HOSPITAL
HOSPITAL BEDS
HOUSEHOLD SURVEY
HUMAN RESOURCES
IMMIGRANTS
INCOME
INCOME SOURCE
INDUSTRY CHARACTERISTICS
INFLATION
INFORMAL EMPLOYMENT
INFORMAL LABOR MARKETS
INFORMAL SECTOR
INNOVATIONS
JOB CREATION
JOB DESTRUCTION
JOB DESTRUCTION RATES
JOB SECURITY
JOB SEPARATION
JOBS
LABOR CODE
LABOR CONTRACT
LABOR COSTS
LABOR DEMAND
LABOR ECONOMICS
LABOR FORCE
LABOR LEGISLATION
LABOR MARKET
LABOR MARKET INSTITUTIONS
LABOR MARKET LEGISLATION
LABOR MARKET PERFORMANCE
LABOR MARKET PERSPECTIVE
LABOR MARKET REFORMS
LABOR MARKET RIGIDITIES
LABOR MARKETS
LABOR SUPPLY
LABOR TURNOVER
LABOUR
LABOUR MARKET
LATIN AMERICAN
LAWS
LAYOFFS
MACROECONOMIC FLUCTUATIONS
MANAGEMENT OF HEALTH
MARKET SHARE
MATERNITY LEAVE
MAXIMUM CONTRIBUTIONS
MEDICAL CARE
MIGRATION
MINIMUM PENSIONS
MINIMUM WAGES
MINISTRY OF HEALTH
MOTIVATION
NATURE OF HEALTH
NEW JOBS
NUMBER OF WORKERS
OLD-AGE
ORGANIZED LABOR
PENSION
PENSIONS
POLICY REGIME
POLICY RESEARCH
POLICY RESEARCH WORKING PAPER
POLITICAL ECONOMY
POPULATION GROWTH
PRELIMINARY ANALYSIS
PREVIOUS JOB
PREVIOUS WORK
PRIVATE FIRMS
PRIVATE SECTOR
PROBABILITIES
PROBABILITY
PRODUCTIVITY
PROGRESS
PROTECTION RATE
PUBLIC HEALTH
PUBLIC HEALTH SERVICES
PUBLIC HOSPITALS
QUESTIONNAIRE
REASSIGNMENT
RECESSION
RENTS
REPRODUCTIVE HEALTH
RESPECT
RETIREMENT
RETIREMENT DECISION
RURAL AREAS
SALARIED EMPLOYMENT
SALARIED WORKERS
SALARIES
SALARY
SCHOOL HOURS
SELF EMPLOYED
SELF EMPLOYMENT
SELF-EMPLOYMENT
SERVICE PROVISION
SOCIAL PROTECTION
SOCIAL SECURITY
SOCIAL SECURITY CONTRIBUTIONS
SOCIAL SERVICES
STOCKS
TERMINATION
TOTAL EMPLOYMENT
TRADE LIBERALIZATION
TRADE REFORMS
UNEMPLOYED
UNEMPLOYMENT BENEFIT
UNEMPLOYMENT RATE
UNEMPLOYMENT RATES
UNION DENSITY
UNIONS
UNIVERSAL ACCESS
UNPAID FAMILY WORKERS
UNSKILLED WORKERS
URBAN AREAS
URBAN DWELLERS
VACATION PAY
WAGE FLEXIBILITY
WAGE GAP
WAGE RATE
WAGE RIGIDITIES
WORK FORCE
WORKER
WORKERS
WORKFORCE
WORKING AGES
WORKING HOURS
YEARS OF SERVICES
spellingShingle ACCESS TO HEALTH SERVICES
ACCOUNTING
ATTRITION
AVERAGE WAGE
BUSINESS CYCLE
BUSINESS CYCLES
CALCULATIONS
CHECKS
COMPULSORY CONTRIBUTIONS
CONTRIBUTION
CRISES
CURRENCY
DEMAND FOR SERVICES
DEVELOPING COUNTRIES
DEVELOPMENT ECONOMICS
DISGUISED UNEMPLOYMENT
DISMISSAL
DRIVERS
EARNING
EARNINGS
ECONOMIC FLUCTUATIONS
ECONOMIC SLOWDOWN
ELDERLY
EMERGENCY CARE
EMPLOYMENT SPELLS
EQUILIBRIUM UNEMPLOYMENT
ESTIMATED PARAMETERS
EXCHANGE RATE
EXTERNAL SHOCKS
FEDERAL RESERVE
FEWER PEOPLE
FINANCIAL CRISIS
FINDING JOBS
FIRING COSTS
FIRM SIZE
GROSS WAGE
HEALTH CARE
HEALTH CARE REFORM
HEALTH CARE SYSTEM
HEALTH INSURANCE
HEALTH REFORM
HEALTH SECTOR
HEALTH SECTOR REFORM
HEALTH SERVICES
HEALTH SYSTEM
HEALTH SYSTEMS
HOSPITAL
HOSPITAL BEDS
HOUSEHOLD SURVEY
HUMAN RESOURCES
IMMIGRANTS
INCOME
INCOME SOURCE
INDUSTRY CHARACTERISTICS
INFLATION
INFORMAL EMPLOYMENT
INFORMAL LABOR MARKETS
INFORMAL SECTOR
INNOVATIONS
JOB CREATION
JOB DESTRUCTION
JOB DESTRUCTION RATES
JOB SECURITY
JOB SEPARATION
JOBS
LABOR CODE
LABOR CONTRACT
LABOR COSTS
LABOR DEMAND
LABOR ECONOMICS
LABOR FORCE
LABOR LEGISLATION
LABOR MARKET
LABOR MARKET INSTITUTIONS
LABOR MARKET LEGISLATION
LABOR MARKET PERFORMANCE
LABOR MARKET PERSPECTIVE
LABOR MARKET REFORMS
LABOR MARKET RIGIDITIES
LABOR MARKETS
LABOR SUPPLY
LABOR TURNOVER
LABOUR
LABOUR MARKET
LATIN AMERICAN
LAWS
LAYOFFS
MACROECONOMIC FLUCTUATIONS
MANAGEMENT OF HEALTH
MARKET SHARE
MATERNITY LEAVE
MAXIMUM CONTRIBUTIONS
MEDICAL CARE
MIGRATION
MINIMUM PENSIONS
MINIMUM WAGES
MINISTRY OF HEALTH
MOTIVATION
NATURE OF HEALTH
NEW JOBS
NUMBER OF WORKERS
OLD-AGE
ORGANIZED LABOR
PENSION
PENSIONS
POLICY REGIME
POLICY RESEARCH
POLICY RESEARCH WORKING PAPER
POLITICAL ECONOMY
POPULATION GROWTH
PRELIMINARY ANALYSIS
PREVIOUS JOB
PREVIOUS WORK
PRIVATE FIRMS
PRIVATE SECTOR
PROBABILITIES
PROBABILITY
PRODUCTIVITY
PROGRESS
PROTECTION RATE
PUBLIC HEALTH
PUBLIC HEALTH SERVICES
PUBLIC HOSPITALS
QUESTIONNAIRE
REASSIGNMENT
RECESSION
RENTS
REPRODUCTIVE HEALTH
RESPECT
RETIREMENT
RETIREMENT DECISION
RURAL AREAS
SALARIED EMPLOYMENT
SALARIED WORKERS
SALARIES
SALARY
SCHOOL HOURS
SELF EMPLOYED
SELF EMPLOYMENT
SELF-EMPLOYMENT
SERVICE PROVISION
SOCIAL PROTECTION
SOCIAL SECURITY
SOCIAL SECURITY CONTRIBUTIONS
SOCIAL SERVICES
STOCKS
TERMINATION
TOTAL EMPLOYMENT
TRADE LIBERALIZATION
TRADE REFORMS
UNEMPLOYED
UNEMPLOYMENT BENEFIT
UNEMPLOYMENT RATE
UNEMPLOYMENT RATES
UNION DENSITY
UNIONS
UNIVERSAL ACCESS
UNPAID FAMILY WORKERS
UNSKILLED WORKERS
URBAN AREAS
URBAN DWELLERS
VACATION PAY
WAGE FLEXIBILITY
WAGE GAP
WAGE RATE
WAGE RIGIDITIES
WORK FORCE
WORKER
WORKERS
WORKFORCE
WORKING AGES
WORKING HOURS
YEARS OF SERVICES
Bosch, Mariano
Goni, Edwin
Maloney, William
The Determinants of Rising Informality in Brazil : Evidence from Gross Worker Flows
geographic_facet Latin America & Caribbean
Brazil
relation Policy Research Working Paper; No. 4375
description This paper studies gross worker flows to explain the rising informality in Brazilian metropolitan labor markets from 1983 to 2002. This period covers two economic cycles, several stabilization plans, a far-reaching trade liberalization, and changes in labor legislation through the Constitutional reform of 1988. First, focusing on cyclical patterns, the authors confirm that for Brazil, the patterns of worker transitions between formality and informality correspond primarily to the job-to-job dynamics observed in the United States, and not to the traditional idea of the informal queuing for jobs in a segmented market. However, the analysis also confirms distinct cyclical patterns of job finding and separation rates that lead to the informal sector absorbing more labor during downturns. Second, focusing on secular movements in gross flows and the volatility of flows, the paper finds the rise in informality to be driven primarily by a reduction in job finding rates in the formal sector. A small fraction of this is driven by trade liberalization, and the remainder seems driven by rising labor costs and reduced flexibility arising from Constitutional reform.
format Publications & Research :: Policy Research Working Paper
author Bosch, Mariano
Goni, Edwin
Maloney, William
author_facet Bosch, Mariano
Goni, Edwin
Maloney, William
author_sort Bosch, Mariano
title The Determinants of Rising Informality in Brazil : Evidence from Gross Worker Flows
title_short The Determinants of Rising Informality in Brazil : Evidence from Gross Worker Flows
title_full The Determinants of Rising Informality in Brazil : Evidence from Gross Worker Flows
title_fullStr The Determinants of Rising Informality in Brazil : Evidence from Gross Worker Flows
title_full_unstemmed The Determinants of Rising Informality in Brazil : Evidence from Gross Worker Flows
title_sort determinants of rising informality in brazil : evidence from gross worker flows
publisher World Bank, Washington, DC
publishDate 2012
url http://documents.worldbank.org/curated/en/2007/10/8466542/determinants-rising-informality-brazil-evidence-gross-worker-flows
http://hdl.handle.net/10986/7365
_version_ 1764402422676979712
spelling okr-10986-73652021-04-23T14:02:34Z The Determinants of Rising Informality in Brazil : Evidence from Gross Worker Flows Bosch, Mariano Goni, Edwin Maloney, William ACCESS TO HEALTH SERVICES ACCOUNTING ATTRITION AVERAGE WAGE BUSINESS CYCLE BUSINESS CYCLES CALCULATIONS CHECKS COMPULSORY CONTRIBUTIONS CONTRIBUTION CRISES CURRENCY DEMAND FOR SERVICES DEVELOPING COUNTRIES DEVELOPMENT ECONOMICS DISGUISED UNEMPLOYMENT DISMISSAL DRIVERS EARNING EARNINGS ECONOMIC FLUCTUATIONS ECONOMIC SLOWDOWN ELDERLY EMERGENCY CARE EMPLOYMENT SPELLS EQUILIBRIUM UNEMPLOYMENT ESTIMATED PARAMETERS EXCHANGE RATE EXTERNAL SHOCKS FEDERAL RESERVE FEWER PEOPLE FINANCIAL CRISIS FINDING JOBS FIRING COSTS FIRM SIZE GROSS WAGE HEALTH CARE HEALTH CARE REFORM HEALTH CARE SYSTEM HEALTH INSURANCE HEALTH REFORM HEALTH SECTOR HEALTH SECTOR REFORM HEALTH SERVICES HEALTH SYSTEM HEALTH SYSTEMS HOSPITAL HOSPITAL BEDS HOUSEHOLD SURVEY HUMAN RESOURCES IMMIGRANTS INCOME INCOME SOURCE INDUSTRY CHARACTERISTICS INFLATION INFORMAL EMPLOYMENT INFORMAL LABOR MARKETS INFORMAL SECTOR INNOVATIONS JOB CREATION JOB DESTRUCTION JOB DESTRUCTION RATES JOB SECURITY JOB SEPARATION JOBS LABOR CODE LABOR CONTRACT LABOR COSTS LABOR DEMAND LABOR ECONOMICS LABOR FORCE LABOR LEGISLATION LABOR MARKET LABOR MARKET INSTITUTIONS LABOR MARKET LEGISLATION LABOR MARKET PERFORMANCE LABOR MARKET PERSPECTIVE LABOR MARKET REFORMS LABOR MARKET RIGIDITIES LABOR MARKETS LABOR SUPPLY LABOR TURNOVER LABOUR LABOUR MARKET LATIN AMERICAN LAWS LAYOFFS MACROECONOMIC FLUCTUATIONS MANAGEMENT OF HEALTH MARKET SHARE MATERNITY LEAVE MAXIMUM CONTRIBUTIONS MEDICAL CARE MIGRATION MINIMUM PENSIONS MINIMUM WAGES MINISTRY OF HEALTH MOTIVATION NATURE OF HEALTH NEW JOBS NUMBER OF WORKERS OLD-AGE ORGANIZED LABOR PENSION PENSIONS POLICY REGIME POLICY RESEARCH POLICY RESEARCH WORKING PAPER POLITICAL ECONOMY POPULATION GROWTH PRELIMINARY ANALYSIS PREVIOUS JOB PREVIOUS WORK PRIVATE FIRMS PRIVATE SECTOR PROBABILITIES PROBABILITY PRODUCTIVITY PROGRESS PROTECTION RATE PUBLIC HEALTH PUBLIC HEALTH SERVICES PUBLIC HOSPITALS QUESTIONNAIRE REASSIGNMENT RECESSION RENTS REPRODUCTIVE HEALTH RESPECT RETIREMENT RETIREMENT DECISION RURAL AREAS SALARIED EMPLOYMENT SALARIED WORKERS SALARIES SALARY SCHOOL HOURS SELF EMPLOYED SELF EMPLOYMENT SELF-EMPLOYMENT SERVICE PROVISION SOCIAL PROTECTION SOCIAL SECURITY SOCIAL SECURITY CONTRIBUTIONS SOCIAL SERVICES STOCKS TERMINATION TOTAL EMPLOYMENT TRADE LIBERALIZATION TRADE REFORMS UNEMPLOYED UNEMPLOYMENT BENEFIT UNEMPLOYMENT RATE UNEMPLOYMENT RATES UNION DENSITY UNIONS UNIVERSAL ACCESS UNPAID FAMILY WORKERS UNSKILLED WORKERS URBAN AREAS URBAN DWELLERS VACATION PAY WAGE FLEXIBILITY WAGE GAP WAGE RATE WAGE RIGIDITIES WORK FORCE WORKER WORKERS WORKFORCE WORKING AGES WORKING HOURS YEARS OF SERVICES This paper studies gross worker flows to explain the rising informality in Brazilian metropolitan labor markets from 1983 to 2002. This period covers two economic cycles, several stabilization plans, a far-reaching trade liberalization, and changes in labor legislation through the Constitutional reform of 1988. First, focusing on cyclical patterns, the authors confirm that for Brazil, the patterns of worker transitions between formality and informality correspond primarily to the job-to-job dynamics observed in the United States, and not to the traditional idea of the informal queuing for jobs in a segmented market. However, the analysis also confirms distinct cyclical patterns of job finding and separation rates that lead to the informal sector absorbing more labor during downturns. Second, focusing on secular movements in gross flows and the volatility of flows, the paper finds the rise in informality to be driven primarily by a reduction in job finding rates in the formal sector. A small fraction of this is driven by trade liberalization, and the remainder seems driven by rising labor costs and reduced flexibility arising from Constitutional reform. 2012-06-06T22:04:48Z 2012-06-06T22:04:48Z 2007-10 http://documents.worldbank.org/curated/en/2007/10/8466542/determinants-rising-informality-brazil-evidence-gross-worker-flows http://hdl.handle.net/10986/7365 English Policy Research Working Paper; No. 4375 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 Brazil