Informal Sector Flashcards
1
Q
Discuss the formal SA economy
A
Corporate companies
Attract FDI
legal
2
Q
Discuss the SA informal economy
A
Cash economy
Not included in GDP
unskilled jobs
Illegal
3
Q
What are advantages of high informal sector employment
A
Reduce unemployment
Local products
Learn skills
4
Q
What are disadvantages of high informal sector employment
A
No tax
No regulation
Overcrowding
5
Q
What are challenges of the high informal sector employment
A
Low pay jobs, exploited workers
Regulation, unhygienic, congestion
6
Q
What are solutions of Hugh informal sector employment
A
License system
Fine defaulters
Encourage training
