It is False that in Cochabamba, Bolivia, the informal economy is a small but important sector of the overall economy.
This is because the informal economy in Cochabamba is widespread in the street.
However, because they don't pay taxes or report earnings, it is hard to conclude that it is an important sector of the overall economy.
Also, since the statistics of the informal economy of Cochabamba do not reflect on the Bolivia general economy, the statement is considered False,
Hence, in this case, it is concluded that the correct answer is False.
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