Informal Labour and Credit Markets: A Survey.

46

Table 4: Search matching models: classification

Papers	Heterogeneity	Informality choice	Informal workers status
Albrecht et al. 2005	heterogeneous formal workers	endogenous worker’s choice	informal self-employed
Boeri-Garibaldi 2005	heterogeneous skills	end. worker’s and firm’s choice	employed in LM* with frictions
Bosch 2006	homogeneous but SJM**	intrafirm margin	employed in LM with frictions
Bosch 2007	heterogeneous but SJM**	intrafirm margin+occup. choice	informal self-employed
Fugazza and Jacques 2003	heterogeneous informal workers	endogenous firm and worker choice	employed in LM* with frictions
Satchi and Temple 2008	homogeneous	endogenous worker’s choice	unemployed in LM* with frictions
Zenou 2008	homogeneous, different sector TFPs	endogenous worker’s choice	employed in competitive LM*

Notes: *LM=Labor markets **SJM=stochastic job matching

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