Some notes on informality, labour productivity and capacity utilization and its impacts over economic growth in Brazil in the 2000s

Abstract:

This paper aims to discuss the implications of informality in Brazil by presenting new evidence on value added, occupations, and in labor productivity in the formal and informal sectors, disaggregated by economic activity. Moreover, we developed counterfactual exercises for these variables in order to assess the possible impacts of labor migration from non-formal sector to the formal sector as well as from changes in the rate of capacity utilization.

Keywords:
labor productivity; informality; structural heterogeneity; economic growth