informal economies

Informal economies consist of economic activities that are not recorded or regulated by government authorities. These include jobs like street vending, small-scale farming, or homemade crafts, which often operate outside formal business systems. People engage in informal economies for various reasons, such as lack of access to formal employment, regulatory barriers, or immediate income needs. While they provide crucial livelihood opportunities, they often lack legal protections, social benefits, and may evade taxes. Despite their unregulated nature, informal economies play a significant role in many communities, supporting both individual incomes and local markets.