ABSTRACT

The informal economy has been a principal focus within studies of Latin America since the 1960s. Growing out of a discussion of urban marginality and building on analyses of street trading in Africa, students of the informal sector have been particularly interested in its relationship with the formal sector, its potential (or lack thereof) to spur economic development, and its role in poor people’s employment and survival strategies. Within this discussion, street vending has been an important focus because of its visibility in Latin American cities and because it challenges state regulation on two fronts: illegal commerce calls into question the state’s ability to collect taxes, raise revenue, and provide services; and street commerce (legal or illegal) potentially blocks street access to vehicles, pedestrians, or residents.