Transitions in Segmented Labor Markets

The study examines the persistent nature of informal employment, challenging the notion that it is merely a transitory phase in labor markets. It highlights its significance in both developing and developed countries, emphasizing the need for policymakers to consider informal employment in labor market strategies. Through empirical analysis using Cox proportional hazard models and multinomial logistic regression on Brazilian labor market data, the research explores how informal employment influences worker allocation to formal jobs and the selection of job search methods.