nep-iue New Economics Papers
on Informal and Underground Economics
Issue of 2017‒06‒04
two papers chosen by
Catalina Granda Carvajal
Universidad de Antioquia

  1. Labour Market Policies and the Informal Sector: A Segmented Labour Markets Analysis By Dürdane Şirin Saracoğlu
  2. The System of Risk Analysis in the Field of Customs By Balandina, Galina

  1. By: Dürdane Şirin Saracoğlu (Department of Economics, METU)
    Abstract: In this paper we develop a dynamic model of a multi-sector economy with an informal sector and segmented labour markets first to demonstrate how informal production and employment decline in transition towards the steady state, and second to analyse the impact of various labour market policies at the steady state. Our results primarily indicate that informal employment share increases with minimum wage, and decreases with reductions in the payroll taxes, moreover, reducing the tax imposed on employer is more effective in reducing the informal employment share, while reducing the tax imposed on employee is more effective in increasing consumer felicity.
    Keywords: Segmented labour markets, informal employment, payroll taxes, minimum wage, dynamic modelling
    JEL: C61 J42 O17 O41
    Date: 2017–05
  2. By: Balandina, Galina (Russian Presidential Academy of National Economy and Public Administration (RANEPA))
    Abstract: Expert assessments of the effectiveness of customs control and mesures taken during its implementation show the need for the reform of the management model in the customs business. The implemented methods and methods of customs control contain elements of administrative pressure, corruption, unfair competition. The system of risk and management analysis has formed the basis for reforming customs services in many countries around the world since the 1980s and 1990s and has shown positive results. The introduction of the main elements of this system in Russia and the EEMP along with other Improvement of the customs business will raise the customs administration to a qualitatively new level and help reduce the shadow economy.
    Date: 2017–04

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