Using diagram(s) and basing your argument on the Harris Todaro model,
(i)
Show and explain the importance of informal sector in ensuring
equilibrium in the economy.(5 marks)
(ii)
Explain the paradox of urban job creation.(6 marks)

(iii)
Explain the main policy that can be adopted to remove or reduce the
informal sector.(6 marks)

iv.
“International Trade can lead to growth and development.” Discuss this
statement in the context of developing countries.(17 marks)