Economic activities which do not contribute to the Gross
National Product (GNP) of a country or which rarely has government influence
are called informal economic activities. According to the International Labour
Organization (ILO), 50% - 75% of persons working in the non-agricultural sector
consist of the informal economy in developing
countries. Oftentimes, this is as a result of their lack of ability to obtain
jobs in the formal sector (Stay tuned for
my next post on Formal Economy!).
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| (1) Photos a, b and c were taken at Princes Town while d was taken at Pro Queen Street, Arima. |
This collage represents different types of informal economy
which take place in Trinidad. Photos 1a
and 1b show persons selling a
variety of fashion jewellery and DVDs respectively.
Photo 1a was chosen as it shows how confined and clustered the area was.
This person solely ran her business which was situated on a pavement in front a
clothing store.
Photo 1b was taken
at this angle in order to show the pavement where the seller chose to run his
business with the DVDs on nothing but a wooden board leaning against a fence.
While the persons in photos
1a and 1b ran stationary businesses, the man in
photo 1c only stopped to encourage
me to purchase a pack of clothes pins and to take a quick picture before he
busily walked down the road to possibly catch a sale. Photo 1d shows the “Arima drags”. “Drags” is a
local term used to describe closely packed stores under tents or sheds that
mimic a formal store but is usually dirtier, more crowded and not as
aesthetically appealing. A wide variety of items are sold here including
clothes, shoes, belts and other accessories.
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| (2) Photo a was taken at Carenage and b was taken at Charlotte Street, Port of Spain. |
This collage shows the informal economy with respect to
food. Photo 2a depicts the fishing
boats which residents in a small village in Carenage use to catch fish to sell
to persons who are heading into and out of the capital Port of Spain. Most of
these fishermen sell their catch nearby at the roadside in the same area, while
some may go into the city. These fishermen depend on their sales as their
source of income so any sort of disturbance can affect their livelihood.
The
following link explains such a disturbance in Carenage which occurred in 2011
during the State of Emergency in Trinidad:
Photo 2b shows
street vendors lining the entire stretch of Charlotte Street as far as the eye
could see. The vendors also sell a variety of items, especially fresh fruits,
vegetables and seasonings. Some tend to sell clothing, shoes and jewellery. The
angle of this photo allows vision of the length of the roadside which is
occupied by scores of vendors.
This type of economic activity is typical in developing
countries. Many persons tend to run informal businesses so that they can
sustain themselves everyday without having to make a huge effort. Other persons
work in the informal sector in order to avoid tax payments so that they can
keep all their profits.
These occurrences are prevalent in many other countries
around the world, especially in developing countries.
As mentioned before, for
some, informal economy is their way of life. To learn more about the life of a
worker in the informal sector, please view this video which is based in Cebu
City, Philippines :
For an in-depth understanding of informal economy, its
features and its importance to Trinidad and the Caribbean, please visit the
following link to the ILO:
Though the informal economy may not contribute the a country's GNP, street vendors are one of the major contributors to urban congestion, as they cause traffic congestion by crowding streets and pavements as well as polluting streets with garbage.
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