ABSTRACT
This chapter aims to go beyond the poverty studies which concentrate exclusively on the socio-demographic characteristics linked to the conditions of poverty. The Informal Production Units (IPU) characteristics are quite heterogeneous; IPUs with characteristics similar to formal enterprises coexist with others which are closer to survival jobs. The period studied was characterized by strong macro-economic growth, a big reduction in poverty and a fall in unemployment. Micro-enterprise dynamics is thus important if one wishes to understand poverty dynamics and poverty alleviation. The chapter examines the links between the labour market and poverty dynamics by focusing on informal microenterprise dynamics. The results regarding informality in the case of Peru reinforce at the same time the idea of an informal sector chosen by default when faced with the difficulties of acceding to the salaried work and that of a voluntary choice made with the prospect of obtaining a higher income.
