Last week Me. Carli Bezuidenhout received guests at our seminar series to speak about informality and inclusive growth. Kezia Lilenstein and Morne Oosthuizen of the DPRU visited and Christina Fernandez joined via Skype.
This research seeks to explore the relationship between informality and inclusive growth in sub-Saharan Africa, with a particular focus on South Africa. South Africans typically hold one of two opposing views on the informal sector. The first is that informality should be encouraged as an under-utilised source of new employment; the second is that it should be discouraged as an inferior source of employment. The central research question is therefore: “Do informal labour markets promote or constrain inclusive growth?” In order to examine the hypotheses, they use three different methodologies. Firstly, they undertake a regional evidence synthesis examining literature and case studies from the sub-Saharan Africa region. Secondly, they expand on the South African case study and examine the nature of transitions within the labour market. Thirdly, they examine to what extent income shocks may impact the likelihood of engagement within the informal sector.
You can download the regional evidence paper here.