Abstract

MORALES, Rolando. Among the formality and informality: Options and different incomes?. rlde [online]. 2012, n.17, pp.7-52. ISSN 2074-4706.

Based on the classification of workers between dependent and independent (small employers and own account workers) andbetween formal and informal, this work raises some important questions: 1) Is it possible to identify characteristics that lead workers preferably pick a category?, 2) Are there groups of workers with similar characteristics in different categories?, in what magnitude? 3) Are there differences in labor income in the different categories among workers with similar characteristics? The answers to these questions are to be inserted in the theoretical debate on the existence of segmentation in different labor markets. The conclusions are: 1) Different characteristics of the workers have to choose one or the other job category, 2) There are groups ofworkers with similar characteristics between the different categories, 3) in similar groups, the formalization does not lead to improved revenue of small employers or employed, but of dependent workers, 4) Some workers face segmentation for not meeting work requirements sufficient, others by the narrowness of the market, but many opt voluntarily for their current employment status.

Keywords : Informality; segmentation; Propensity Score Matching.

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