New Publication on ‘Informal Entrepreneurship: Institutional Drivers and Productivity Consequences’

IMEG member Kun Fu has published a new paper titled ‘Informal Entrepreneurship: Institutional Drivers and Productivity Consequences’ as part of the ADB Economics Working Paper Series.

The study estimates the prevalence of informal entrepreneurship across 60 countries during 2006–2022. The findings show that burdensome regulations increase informal entry into business, while stronger property rights and rule of law promote formal entrepreneurship and deter informal activity. Further, high informal entrepreneurship rates discourage growth aspirations and negatively influence the relationship between gender and entrepreneurial ambition, suggesting broader economic and social implications tied to the informal economy.

Kun also had the opportunity to present the paper at the ADB Economic Research and Development Impact Department (ERDI) research seminar on 4 November 2025.

Full reference:

Autio, E., Fu, K., Park, D. and Tian, G., 2025. Informal Entrepreneurship: Institutional Drivers and Productivity Consequences. (No.808). ADB Economics Working Paper Series.  https://dx.doi.org/10.22617/WPS250391-2

The paper is available in open access here.