Abstract

BOTELLO PENALOZA, Héctor Alberto  and  GUERRERO RINCON, Isaac. Informal Economy and Income Distribution in Ecuador During the COVID-19 Pandemic. Rev.fac.cienc.econ. [online]. 2022, vol.30, n.1, pp.11-28.  Epub June 30, 2022. ISSN 0121-6805.  https://doi.org/10.18359/rfce.5206.

This paper seeks to analyze the evolution of labor informality in Ecuador during the corona-virus. The analysis uses microdata from household surveys for 2019 and 2020 to contrast the evolution of informality rate and income. A wage decomposition model is used to estimate the variation in income between the two periods. The results show an annual drop of 11 % in the informal population working a year ago; however, the informality rate rose by 2%. This behavior is contextualized by a 20 % decrease in the hours worked per week and a 29 % in hourly labor income.

Keywords : Labor market; Ecuador; wage inequality; economically active population; informality; coronavirus.

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