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Can enhancing the benefits of formalization induce informal firms to become formal ? experimental evidence from Benin (English)

Governments around the world have introduced reforms to attempt to make it easier for informal firms to formalize. However, most informal firms have not gone on to become formal, especially when tax registration is involved. A randomized experiment based around the introduction of the entreprenant legal status in Benin is used to provide evidence from an African context on the willingness of informal firms to register after introducing a simple, free...
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Benhassine,Najy; Mckenzie,David J.; Pouliquen,Victor Maurice Joseph; Santini,Massimiliano.

Can enhancing the benefits of formalization induce informal firms to become formal ? experimental evidence from Benin (English). Impact Evaluation series|Paper is funded by the Strategic Research Program (SRP)|Policy Research working paper|no. WPS 7900 Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/579081480451260134

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