Economics at your fingertips  

The informal sector and the internal migration process in developing countries: an examination of the Todaro paradox

Claude Sumata ()
Additional contact information
Claude Sumata: Université Pédagogique Nationale; Université Catholique du Congo

African Journal of Frontiers of Economics and Mathematics, 2016, issue 1, 45-56

Abstract: For several years, accelerated migrations from rural areas to the cities have been observed. Nevertheless, salary differences have been increasingly small. The result is important problems of over-urbanization and urban unemployment. These observations seem to conflict with the microeconomic theories of migrations in the LDCs which predict, on the contrary, that the migrations should slow down because in this case, the prospect of greater earnings in the city is less promising than in the rural areas. It seems to us that these observations do not take the informal economy into account (because it generally is not included in the official figures); this sector nevertheless absorbs an increasing amount of urban labour. We next propose an original model which explicitly accounts for the informal economy and analyse whether or not unemployment reduction policies are effective in this context.

Keywords: Urban informal sector; Migration; Urbanization; Unemployment (search for similar items in EconPapers)
JEL-codes: E26 O12 O17 (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations Track citations by RSS feed

Downloads: (external link) (text/html)
Access to full text is restricted to AJ-FEM members and institutional subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Access Statistics for this article

African Journal of Frontiers of Economics and Mathematics is currently edited by Jean-Paul K. Tsasa

More articles in African Journal of Frontiers of Economics and Mathematics from The LAREQ Press The LAREQ Press, BP 16.626 Kinshasa 1. Contact information at EDIRC.
Series data maintained by Jean-Paul K. Tsasa ().

Page updated 2017-09-29
Handle: RePEc:lrq:journl:y:2016:i:1:p:45-56