Transcript May 2014 Contents Objective Sources of Statistical Information Theoretical and Conceptual Framework Methodological Framework A measurement for the Mexican case.

May 2014
Contents
Objective
Sources of Statistical Information
Theoretical and Conceptual Framework
Methodological Framework
A measurement for the Mexican case
Objective
 Obtain an explicit measurement of the Informal Economy
value, in the framework of the System of National Accounts of
Mexico 2008 (SCNM08) aligned with the set the International
Organizations guidelines:
 Informality index
 Production account informal main components
 Occupied personnel in Informality
Classification used is The North American Industrial
Classification System 2007 (NAICS07) for 56 subsectors of the
Mexican economy.
Statistical Information Sources
Statistical Information:
 2009 Economic Censuses (CE, Censos Económicos 2009
 National Survey of Households Income and Expenditure (ENIGH, Encuesta
Nacional de Ingreso – Gasto de los Hogares)
 National Survey of Occupation and Employment (ENOE, Encuesta Nacional
de Ocupación y Empleo)
 National Survey of Micro-business (ENAMIN, Encuesta Nacional de
Micronegocios)
Statistical Information Sources
EXPENSES AND INCOME OF THE INFORMAL SECTOR
K200
Consumed materials for service
providing
K431
K310
Own Raw materials and auxiliaries
consumed
K521
K311
Stationery and office articles
K531
K321
Consumed construction materials as
main contractor
K590
K331
Explosives, reagents and similar
inputs consumed
K332
Energy consumption for the
production process
K833
Payments for toll and infrastructure uses
K910
Bottling and packages consumption
K921
Goods and services insurance payments
(65%)
Other properties rental payments
K950
Repairs and spare parts for current
operation
K620
Commissions payment without
base wage
K961
Sold products freights
Minerals bought to 3rd parties,
processed by mining unit
K630
Professional services payments
K976
Water consumption payment
K411
How much did you spend in fuels and
oils?
K700
How much did you pay for maquila
or outsourcing?
K999
Other expenses for goods and services
consumption
K412
Electric power consumption
K810
Payments for advertising
How much you paid last month?
K421
Fuels and oils consumption for
transport equipment
K820
Payments for communications
services
How many hours did you work last
week?
Construction machinery and
equipment rental payments
Transport equipment rental
payments
Theoretical and Conceptual
Framework
For the subject of informality phenomena the statistical
measurement, the norms and recommendations have been settled
by the international agencies considering the following:
 International Conferences of Labor Statisticians (ICLS XV and
ICLS XVII).
 The Non-Observed Economy Manual (NOE) 2002 chapter 12
section 12.4.
 The 2008 System of National Accounts (2008 SNA) chapter 25.
Theoretical and Conceptual
Framework
ICLS XV (1993)
ICLS XVII (2003)
Informal Sector
Informal Employment
 Units engaged in the production of
goods and/or services.
 Employment and income generator.
Non incorporated as legal entities.
 Lack of capital accounting.
 Distinguishing:
 Informal economy employment,
 Informal employment,
 Employment in the informal
sector
 And Informal employment out of
the informal sector and the
informal employment.
 Disaggregation
of
informal
employment by type production unit.
Is added to the definition
of informal employment
other types of informal
employment:
Starting
from
the
recommendations expressed in
the XV ICLS and XVII ICLS,
and
experience
in
the
measurement of informality in
different countries an expanded
concept of informality is
defined.
Now
not
only
includes
employment
in
informal
economic
units,
but
it
incorporates the entire work
does not registered with the
social
security,
which
is
operating in the informal sector
economic units.
• The unprotected work of
agricultural activity.
• Paid
domestic
households.
service
of
• Subordinate workers, although
they work for formal production units
do so on modalities in which
production units do not recognize a
formal employment relationship and
obligations that this entails.
Matriz Hussmanns: México
ILO: Informal
and and
Informal
Employment
Informal Employment
Informal Sector
ILO:Sector
Jobs by status in employment
Employers
Own-account workers
Enterprises by Type
Members of
producers'
cooperatives
*
Producers for
own final use producers for sale or barter
only
Informal
Private
unincorporated
enterprises
Employees
Contributing family workers
Informal
sector
Informal
1
Formal
Informal
2
6
Formal
Informal
Formal
3
4
5
7
8
Informal
Formal
Formal
Other
sectors
Other
enterprises
* Producers' co-operatives, witch are not formally established as legal entities, are treated as private unincorporated enterprises. Persons working in such informal co-operatives are included
* Producers' co-operatives, witch are not formally established as legal entities, are treated as private unincorporated enterprises.
Persons working in such informal co-operatives are included in one of the other categories of status in employment, and their jobs
classified accordingly.
in one of the other categories of status in employment, and their jobs classified accordingly.
Theoretical and Conceptual
Framework
Sector
Nbr. Of
Subsectors
21
1
Mining, excluding oil and gas extraction
22
23
31-33
43-46
48 - 49
51
52
53
54
56
61
62
71
72
81
Total
0
3
16
12
5
3
1
2
1
2
1
2
2
2
3
56
Water and gas supply by pipeline, excluding electricity
Construction
Manufacturing Industries
Trade
Transports, Mail and Storage, excluding Pipeline Transportation
Mass Media Information
Financial and Insurance Services, excluding Central Banking
Real Estate and Property Rental and Intangibles
Professional,, Scientific and Technical Services
Business Support Services and Waste Management
Educational Services
Health Care and Social Assistance Services
Leisure, Cultural, Sports and Recreational Services
Temporary Lodging , Food and Beverages preparation Services
Other Services except Government Activities
Description
Source: Self prepared with SCNM 2008 data
Theoretical and Conceptual
Framework
Sector 11. Agriculture, Animal Breeding and Farming, Forestry,
Fishing and Hunting.
It is important to emphasize that in this study about informality are
considered implicitly the following: .
 Jobs estimated in function of required labor days by product
without distinguishing employment features.
 In Mexico, the agricultural property is assigned to peasants as
private property socially named Ejido. Meaning that Mexican
peasants have assets that they can sell, transform or extinguish.
Methodological Framework
The current method in INEGI is the Direct Method for measuring total
Informal Economy, from direct sources such as the Surveys of
Employment and Micro-business.
The statistical technique for obtaining the
explicit measurement by subsectors of
the Informal Economy is the “Method of
the Latent Variable”, characterized by an
unobserved variable explained from
known indicators.
Such
technique
reduces
the
dimensionality of the set of observations
keeping the major part of the feasible
information of the study set.
Methodological Framework
METHODS FOR ESTIMATING THE GROSS VALUE ADDED THE
INFORMAL SECTOR (GVAIS)
 Latent Variable Method applied to income of
the matrix of employment for position in the
occupation.
 Vector (56X1) = Multiplication Index
Informality by the level of Gross Value Added.
Measurement for Mexico in 2008
The GDP of informal activity, incorporating the informal sector and
informal employment, contributed to the national GDP to 25.49% in
2008.
25.49%
INFORMAL
ACTIVITY
16.79%
INFORMAL
EMPLOYMENT
8.70%
INFORMAL
SECTOR
GDP 2008
GDP 2008
GDP 2008
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