Job quality in the shadow of Informality: A regional analysis in Ecuador

Abstract

This paper investigates the relationship between informality and job quality in Ecuador, emphasizing the role of education as a mediating factor. Utilizing data from the National Survey of Employment, Unemployment, and Underemployment from 2014 to 2019, the study employs an Employment Quality Index to assess job quality. Through a detailed empirical strategy incorporating pooled ordinary least squares regressions, panel data analyses, and spatial models, the research unveils a negative impact of informality in employment quality. However, the findings indicate that education does not significantly influence this relationship at the regional level. These results highlight the necessity for targeted policy interventions that address the structural issues in the labor market.