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Informality is ubiquitous in most developing countries. Understanding the informal economy is therefore of utmost importance from a political, economic and social point of view. Paradoxically, despite its economic importance, knowledge is extremely limited regarding the informal economy. It remains largely unrecognized by researchers, is neglected by politicians, and is even negatively perceived as it is meant to disappear with development. This book aims to amend this situation by presenting recent high level research which studies the informal sector and informal employment. Fresh research into this subject is presented through empirical analysis which covers Asia, Africa and Latin America. Each chapter relies on data and a detailed knowledge of the context of the countries studied in order to question the dominant schools of thought on the origins and causes of informality. The results provide interesting insights into the constraints faced by informal workers, the dynamics of the informal economy and its link with poverty issues. On the basis of the evidences provided by results adequate policies could be defined to address informality issues. The principal characteristics of the informal sector testify to some profound similarities between developing countries: low qualifications and the precariousness of jobs, mediocre incomes and working conditions, atomization of production units and lack of articulation with the formal economy, etc. This general statement does not contradict the observation that there is a high level of heterogeneity in the sector and in informal employment within each country, confirmed by several chapters in this work. In the absence of a sufficient number of job creations, the informal sector essentially constitutes a refuge for workers seeking and is here to stay in the short and medium term, even in emerging countries.
Informality is ubiquitous in most developing countries. Understanding the informal economy is therefore of utmost importance from a political, economic and social point of view. Paradoxically, despite its economic importance, knowledge is extremely limited regarding the informal economy. It remains largely unrecognized by researchers, is neglected by politicians, and is even negatively perceived as it is meant to disappear with development. This book aims to amend this situation by presenting recent high level research which studies the informal sector and informal employment. Fresh research into this subject is presented through empirical analysis which covers Asia, Africa and Latin America. Each chapter relies on data and a detailed knowledge of the context of the countries studied in order to question the dominant schools of thought on the origins and causes of informality. The results provide interesting insights into the constraints faced by informal workers, the dynamics of the informal economy and its link with poverty issues. On the basis of the evidences provided by results adequate policies could be defined to address informality issues. The principal characteristics of the informal sector testify to some profound similarities between developing countries: low qualifications and the precariousness of jobs, mediocre incomes and working conditions, atomization of production units and lack of articulation with the formal economy, etc. This general statement does not contradict the observation that there is a high level of heterogeneity in the sector and in informal employment within each country, confirmed by several chapters in this work. In the absence of a sufficient number of job creations, the informal sector essentially constitutes a refuge for workers seeking and is here to stay in the short and medium term, even in emerging countries.
The World Bank and the International Monetary Fund (IMF) launched a
joint initiative at the end of 1999, stating that they intended to
set the fight against poverty at the heart of their development
policies. This book provides the expert, critical analysis of the
poverty reduction strategies that is needed. Originally published
in French and updated here for the first time in English, the book
emphasises three main innovations brought about by focus on poverty
reduction, participatory process implemented for policy-making and
better coordination of official development assistance.
Madagascar's long-term trajectory is unique: not only has GDP per capita been trending downward since 1960 (the puzzle), but every time the country has set out on the path of growth, it has been stopped in its tracks by a socio-political crisis that has shattered the hopes it raised (the paradox). No satisfactory explanation of this failure has been provided so far. This book elaborates a model of intelligibility of Madagascar's downfall, based on an integrated political economy approach as well as mobilizing the most recent development theories. Combining a review of historical literature with original and sometimes unique statistical surveys, it proposes a general interpretative framework for the workings of Malagasy society. Richly documented and accessible, Puzzle and Paradox allows readers to understand Madagascar's sociopolitical history while more broadly offering an opportunity to grasp the different dimensions of development in the Global South.
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