Economic Transfers, Gender, and Differences in Informal Sector Participation in Mexico
DOI:
https://doi.org/10.25097/rep.n42.2025.02Keywords:
economic transfers, gender, informal sector, MexicoAbstract
While the literature on the informal sector has explored the link between individuals’ sociodemographic characteristics and their participation in the informal sector, empirical studies focused on the interaction between external factors and the probability of participating in this sector are scarce. This study contributes to the literature by addressing the question: Is there a relationship between receiving economic transfers, gender, and the probability of participating in the informal sector in Mexico? Based on the analysis of microdata from the National Survey of Occupation and Employment, the results from the survey probit model provide evidence that for men, receiving economic support is linked to a decrease in the probability of participating in the informal sector, but receiving support is related to an increase in the probability of participating in this sector for women.
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