The costs and benefits of formalization for firms: A mixed-methods study on Mozambique
Hanna Berkel
No wp-2018-159, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)
Abstract:
This paper is the first to use a panel dataset from the African continent to investigate the relationship between formalization and firm outcomes. Instead of applying a binary formality indicator, it constructs a conceptual framework that regards informality as a continuum consisting of four degrees. The quantitative data includes 516 manufacturing enterprises which are analysed through a matched double difference approach.
Date: 2018
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