How informal is the informal sector? an analysis of the setting and characteristics of the informal sector in Morogoro, Tanzania
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Date
2015
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
MWECAU
Abstract
This study was conducted in Morogoro Municipality to analyze the setting and characteristics
of the Informal Sector (IS). Collection of primary data from 80 respondents was done using
a questionnaire. The study results show that those most involved in the IS had low levels of
education and no business skills, and generally use family labour, willing to operate
businesses at times and locations convenient to customers. The study further shows that
55 % of the IS activities obtained capital from owners’ own sources, and it was further
revealed that 82.5 % of the businesses or activities operating in the IS in the selected
wards were not licensed and rarely used any machinery. The results further show that 50%
of the activities /businesses surveyed were owned by families.The study recommends
that: a need for, addressing training needs for the IS andLGAs
’ to intervene the IS’s
operations for better performance and contribution to the livelihood but also to
allow the LGAs earn income in form of taxes.
Description
MWENGE JOURNAL OF ACADENIC STUDIES - Vol . 3,pp. 37-53
Keywords
Second Economy, Subterranean Economy, Hidden Economy, Underground Economy, Local Government Policy responses