Understanding Formal and Informal Economy Labour Market Dynamics: A Conceptual and Statistical Review with Reference to South Africa
The study reflects on policy processes, and reviews existing key research gaps in outlining the state of economic accountability in South Africa. It investigates factors that promote or impede shifts from the informal economy to the formal labour market and vice-versa; the horizontal shifts and differentiation within the informal economy and within the secondary labour market of the formal economy; as well as the process of economic stagnation. Recent attempts to identify these dynamics, as well as being vague, fall into the trap of defining formal and informal activities negatively i.e. in terms of what they are not.
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