The economic dimension of informal employment

In general, informal economy is described as any economic transactions without the information and supervision of government authorities. In business life, we encounter informal economy as making employees work without due process of social security law. In the last 30-40 years, the volume of informal economy have reached to an important size in all economies around the world, especially in underdeveloped and developing economies. By its very nature, it is impossible to predict the real size of informal economy. In this sense, some predictive methods used in calculations and some concepts used in definitions can show specific variations from country to country. Other than economic activities, social, political, moral and psychological elements effect informal economy. Therefore, it has a very complicated structure. Altough many theoretical solutions have been produced, its existence is still a phenomenon discussed in all countries around the world. The most important characteristic of informal economy and primary subheading is informal employment. As it is the informal employment part of informal economy that influences the business life, this topic is ephasized in detail. In this study of mine, informal economy and employment have been looked at with their general frameworks in a cause and effect relatioship and informal has been examined on the basis of macroeconomic variations. The informal employment of Turkey in developing countries has been analyzed in detail. In this sense, the policy which is applied as part of fighting informal employment in Turkey and its activities have been introduced in a general framework and various solutions have been put forward. This study is thought to eliminate shortcomings in connection with informal employment in the field of finance. KEYWORDS: Informal Economy, Informal Employment, Macroeconomy, Social Security, Turkey.