informal-sector
UK[ɪnˈfɔːməl ˈsɛktə]US[ɪnˈfɔːrməl ˈsɛktər]
adj
Relating to or characteristic of the part of an economy that is not officially recognized, monitored, or taxed by the government.
n
The part of an economy that is not officially recognized, monitored, or taxed by the government.
Morpheme Breakdown
in
formal
sector
in
not
formal
official
sector
part
Etymology
The term "informal-sector" is a modern compound, primarily emerging in economic discourse during the latter half of the 20th century. It logically combines the prefix "in-" (denoting negation) with "formal," which in this context implies adherence to official rules, regulations, and record-keeping. This "non-official" concept is then applied to a "sector," a division or segment, metaphorically extending the Latin root meaning "to cut." Thus, the word's literal construction perfectly captures its meaning: the segment of economic activity that operates outside the formal, regulated structures of the state.
Analysis
Structure: in (not) + formal (official) + sector (part)
- in: Latin origin, a prefix meaning "not" or "without".
- formal: From Latin formalis (pertaining to form), derived from forma (form, shape). In this compound, it carries the sense of "official" or "regulated".
- sector: From Latin sector (cutter, one who cuts), from secare (to cut). In modern economics, it refers to a distinct part or division of society or the economy.
Examples
Many migrants in the city find employment in the informal-sector, working as street vendors or day laborers.
Informal-sector businesses often lack access to bank loans and social security benefits.
The government is trying to design policies to integrate the informal-sector into the formal economy.