2020
DOI: 10.35188/unu-wider/2020/930-3
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Informality and firm performance in Myanmar

Abstract: Using a novel panel survey of enterprises in Myanmar, we compare the performance of manufacturing firms by three different informality definitions. The first is binary, based on whether firms pay taxes. The second captures five categories of registration with the authorities, and the third definition relates to three groupings of the informality status of a firm’s workers. Depending on the informality concept used, formalization has positive, insignificant, and negative performance outcomes. However, our analy… Show more

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Cited by 2 publications
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“…The survey also included unregistered firms (which are included in the sample size mentioned above), but we exclude them from the analysis as generated survey weights only apply to registered firms. Characteristics of unregistered firms are different from registered firms in several aspects that are important for firm performance (see, e.g., Berkel & Tarp, 2022). In general, the literature finds that these firms face constraints in accessing public services such as skill‐training programmes or government‐based credit facilities (Loayza, 1996) and in the case of Myanmar would not qualify for participating in nationally accredited training, which we investigate in addition to other training types.…”
Section: Data Descriptionmentioning
confidence: 99%
“…The survey also included unregistered firms (which are included in the sample size mentioned above), but we exclude them from the analysis as generated survey weights only apply to registered firms. Characteristics of unregistered firms are different from registered firms in several aspects that are important for firm performance (see, e.g., Berkel & Tarp, 2022). In general, the literature finds that these firms face constraints in accessing public services such as skill‐training programmes or government‐based credit facilities (Loayza, 1996) and in the case of Myanmar would not qualify for participating in nationally accredited training, which we investigate in addition to other training types.…”
Section: Data Descriptionmentioning
confidence: 99%