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outline the Harris-Todaro model as an explanation of the formation of an informal sec tor. If the question states that the in formal sector is Ǯless- advantagedǯ note that there are a number of reasons that people voluntarily enter the informal sector. Ê In particular. Ê Outline arguments for and against the informal sector. c c   .     #"    ) 1. h ighlighting in particular upon Brazils poor economic growth as a result of the size of their informal sector. 4. Ê Compare this to the success story of Peru who minimised the size of their informal sector. 2. Ê Briefly outline the alternative arguments for the existence of an informal sector. 3.

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