Urbanization and (In)Formalization
Two of the great stylized predictions of
development theory, and two of the great expectations of
policy makers as indicators of progress in development, are
inexorable urbanization and inexorable formalization.
Urbanization is indeed happening, beyond the "tipping
point" where half the world's population is now
urban. However, formalization has slowed down significantly
in the past quarter century. Indeed, informality has been