Sangam: A Confluence of Knowledge Streams

Rethinking Formalisation: A Conceptual Critique and Research Agenda

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dc.creator Gallien, Max
dc.creator van den Boogaard, Vanessa
dc.date 2021-10-07T10:11:06Z
dc.date 2021-10-07T10:11:06Z
dc.date 2021-10
dc.date.accessioned 2022-05-26T08:49:06Z
dc.date.available 2022-05-26T08:49:06Z
dc.identifier Gallien, M. and van den Boogaard, V. (2021) 'Rethinking Formalisation: A Conceptual Critique and Research Agenda', ICTD Working Paper 127, Brighton: Institute of Development Studies, DOI: 10.19088/ICTD.2021.016
dc.identifier https://opendocs.ids.ac.uk/opendocs/handle/20.500.12413/16869
dc.identifier 10.19088/ICTD.2021.016
dc.identifier.uri http://localhost:8080/xmlui/handle/CUHPOERS/198674
dc.description The concept of ‘formalisation’ has been ubiquitous in development discourse and policymaking in the early twenty-first century. It has underpinned policy interventions and proposals from tax registration to property titling, and a range of measures intended to connect informal entities with state institutions or formally structured markets. Despite the policy enthusiasm, however, the outcomes of formalisation policies have frequently been disappointing. We argue that this disconnect lies in the concept of formalisation itself and that common approaches to formalisation are often rooted in three conceptual fallacies: (a) there is a binary distinction between formal and informal economic actors; (b) all informal economic actors are alike; and (c) ‘becoming’ formal necessarily spurs a set of positive externalities. These conceptual confusions pay insufficient attention to contextual complexity and the political and social dynamics that shape informality in a given context, and are frequently rooted in the practicalities and power structures that shape knowledge creation in this area. Consequently, we argue for a new research agenda on formalisation that challenges both its conventional conceptual foundations and the practices of research that engage with it.
dc.language en
dc.publisher Institute of Development Studies
dc.relation ICTD Working Paper;127
dc.rights http://creativecommons.org/licenses/by-nc/4.0/
dc.rights © Institute of Development Studies 2021
dc.subject Finance
dc.title Rethinking Formalisation: A Conceptual Critique and Research Agenda
dc.type Series paper (non-IDS)


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