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  • 1
    Language: English
    Pages: 1 Online-Ressource (39 pages)
    Parallel Title: Erscheint auch als Hapsari, Indira Maulani Informality in Indonesia: Levels, Trends, and Features
    Keywords: Agricultural Informality ; Cross-Country Informality Analysis ; Employment ; Growth ; Informality ; Macroeconomics ; Rural Development ; Rural Labor Markets
    Abstract: Informality is a multidimensional development challenge with features that potentially differ across workers, firms, and countries. This paper first briefly summarizes the literature, discusses the multiple existing definitions of informality, and adapts the cross-country analytical framework on informality to the context of Indonesia. It then uses several novel datasets and a range of modeling approaches to capture the levels and trends of both output and employment informality in Indonesia. It further contributes to the existing literature by estimating informality in Indonesia at the regional, provincial, and sectoral levels. Those estimates were then benchmarked to the levels, trends, and features of the informal sector in emerging markets and developing economies to examine whether the major features of the informal sector in Indonesia deviate from those observed in other emerging markets and developing economies. The paper finds that despite the declining trend, both output and employment informality remain elevated and broadly above the comparator countries in the region. Informality in Indonesia is mostly concentrated in agriculture and low-skilled services and is associated with higher poverty at the provincial level. There also appear to be productivity, education, and salary gaps between formal and informal workers. Moreover, markets are not segregated as informal firms compete strongly with formal ones. Finally, informality seems to pose macroeconomic challenges as tax efforts and financial sector depth remain below the averages for emerging markets and developing economies
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  • 2
    Language: English
    Pages: 1 Online-Ressource (35 pages)
    Parallel Title: Erscheint auch als Biscaye, Pierre E Balancing Work and Childcare: Evidence from COVID-19 School Closures and Reopenings in Kenya
    Keywords: Child Agricultural Labor ; Childcare ; Education ; Educational Sciences ; Households With Child ; Labor Markets ; Poverty and Equity ; Rural Development ; Rural Labor Markets ; School Closure ; Social Protections and Labor
    Abstract: This paper identifies the impact of childcare responsibilities on adult labor supply in the context of COVID-19-related school closures in Kenya. It compares changes in parents' labor participation after schools partly reopened in October 2020 for households with children in a grade eligible to return against households with children in adjacent grades. Using nationally-representative panel data from World Bank phone surveys in 2020-21, the findings show that the partial reopening increases affected adults' weekly labor hours by 22 percent, with increases concentrated in household agriculture. The results suggest that school closures account for over 30 percent of the fall in average work hours in the first few months after COVID-19 cases were detected. The effects are driven by changes in household childcare burdens and child agricultural labor when a student returns to school. The impacts are not significantly different by sex of the adult. Although both women and men increased hours spent on childcare during the pandemic, women benefited more than men from reductions in childcare needs, but took on more of the childcare burden when the returning student was a net childcare provider. The results highlight the importance of siblings in household childcare and suggest that policies that increase childcare availability and affordability could increase adult labor supply in Kenya
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  • 3
    Language: English
    Pages: 1 Online-Ressource (34 pages)
    Parallel Title: Erscheint auch als Vintar, Mirko Impact of COVID-19 on Labor Market Outcomes of Refugees and Nationals in Kenya
    Keywords: Access To External Finance ; Access To Government Service ; Agriculture ; Employment Rate ; Gender and Development ; Labor Markets ; Poverty and Equity ; Refugee Migration ; Refugee-Hosting Country ; Rural Development ; Rural Labor Markets ; Social Protections and Labor ; Socioeconomic Impact ; Stateless Person
    Abstract: This paper investigates the labor market outcomes for refugee and urban national communities in Kenya during the COVID-19 pandemic, using five waves of a novel high-frequency phone survey collected between May 2020 and June 2021. Even after conditioning on age, gender, educational attainment, and area of living, only 32 percent of refugees were employed in February 2020 compared with 63 percent of nationals. With the onset of the pandemic in March 2020, the share of employed for both refugees and nationals fell by around 36 percent, such that in May-June 2020, only 21 percent of refugees were still employed compared with 40 percent of nationals. Using a panel setup with wave and location fixed effects, the analysis finds that the recovery in the share of employed, hours worked, and household incomes was slower and often stagnant for refugees compared with the recovery of nationals. These differences cannot be explained by demographic factors, living in an urban or camp environment, having been employed previously, or sectoral choice, suggesting that a third, unobservable "refugee factor" inhibits refugees' recovery after a major shock and aggravates preexisting vulnerabilities
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