Bureaucratic form and the informal economy

Keith Hart

in Linking the Formal and Informal Economy

Published in print September 2006 | ISBN: 9780199204762
Published online September 2006 | e-ISBN: 9780191603860 | DOI:

Series: WIDER Studies in Development Economics

 Bureaucratic form and the informal economy

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This paper is divided into three parts. The first part is a story about fluctuations in the balance of the relationship between impersonal and personal principles of social organization, drawing heavily on Max Weber’s interpretation of western history. The second part reviews the concept of an ‘informal economy/sector’, from its origins in discussions of the Third World urban poor to its present status as a universal feature of economy. The third part asks how the combination of the formal/informal pair may be conceived, with a view to promoting development. The paper concludes with suggestions on how partnerships between bureaucracy and the people can be made more equal.

Keywords: social organization; development; bureaucracy; democracy

Chapter.  6123 words. 

Subjects: Economic Development and Growth

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