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S1 Ep56: Hidden unemployment in India

VoxDev Development Economics

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Introduction

In developing countries, half of rural workers are not formally employed. If our glassis half empty, we might assume that hundreds of millions of pople who want work are stuck in unemployment. A worker is rationed from doing wage labor if she meets two criteria. She could be doing something else, like working on her farm or running up business. The second part of our definition is that this person is actually employable in that job at the prevailing wage.

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