Walsh, Frank; Badaoui, Eliane; Strobl, Eric - School of Economics, University College Dublin - 2008
We estimate the wage penalty associated with working in the South African informal sector. To this end we use a rich … data set on non-self employed males that allows one to accurately distinguish workers employed in the informal sector from … there is a gross wage penalty of a little over 18 per cent for working in the informal sector. However, once we reduce our …