Informality, Corruption, and Inequality


Mishra, A. and Ray, R., 2010. Informality, Corruption, and Inequality. Working Paper. Bath, U. K.: Department of Economics, University of Bath. (Bath Economics Research Working Papers; 13/10)

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    The paper looks at the determinants of the size of the informal sector. We argue that corruption and informality complement each other and are jointly determined by various market and non-market variables. Our theoretical model as well empirical exercises focus on wealth and income inequality as a key determinant. High degree of inequality leads to bigger informal sector. We offer several plausible channels through inequality can impact the size of the informal sector.


    Item Type Reports/Papers (Working Paper)
    CreatorsMishra, A.and Ray, R.
    Uncontrolled Keywordsproduct, informal sector, corruption, differentiation, credit market, inequality
    DepartmentsFaculty of Humanities & Social Sciences > Economics
    Research CentresBath Economics Research
    ID Code22127
    Additional InformationID number: 13/10


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