The study looked at data from different countries to see how self-employment and job turnover are affected by factors like taxes, education, and productivity. They found that social security taxes and barriers to firing workers can make the formal job sector smaller. However, factors like productivity and education have a bigger impact. The study suggests that Latin American labor markets are not as distorted as previously thought. It also suggests that self-employment can be a good option for many workers, rather than a last resort.