TY  - RPRT
        AU  - Brockmeyer, Anne
AU  - Gerard, Francois
AU  - Ulyssea, Gabriel
AU  - Wu, Linda
AU  - Bergolo, Marcelo
AU  - Ceni, Rodrigo
AU  - Kirui, Benard
AU  - Lopez-Luzuriaga, Andrea
AU  - Morales, Leonardo
AU  - Otero-Cortés, Andrea
AU  - Riedel, Nadine
AU  - Tapia, Matías
AU  - Tawichsri, Tanisa
AU  - Wiedemann, Verena
        TI  - Formal Labor Market Dynamics and Development
        PY  - 2026/Jun/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 18733
        UR  - https://www.iza.org/index.php/publications/dp18733
        AB  - This paper studies formal employment dynamics using linked employer–employee data from eight countries spanning a wide income range from Kenya to Chile. First, we show that formality rates increase with development, both between and within countries, because more workers enter the formal sector, not because they spend more time in formal jobs. Second, formal labor market fluidity increases with development, as workers hold more formal jobs, spend less time in each job, and less time between jobs. Third, greater fluidity is associated with higher life-cycle wage growth, which is largely accounted for by within- rather than between-firm wage gains.
        KW  - formal employment
KW  - labor market fluidity
KW  - economic development
        ER  -