Hewers of wood and drawers of water: Incomes and employment in the traditional unskilled sector

The traditional unskilled labor market in developing countries is surveyed with respect to factors affecting its size and the causes for the inclusion of certain individuals and groups in that market. A simple supply and demand market is built on these factors and tested against earnings and underemployment data. A less "intuitively obvious" model of earnings determination (and its testing) is a methodological innovation presented. The tests are consistent with the model's contention that traditional sector employment levels are "driven" by supply of labor to the sector, while earnings levels are "driven" by demand factors.