Atypical Employment Relations in Brazil After the Labor Reform

Industrialists, Labor Relations, and the Transition to Democracy in Brazil

This paper is a case study of Brazilian industrialists' attitudes towards changes in labor relations during the transition to democracy. It is based on extensive interviews with 155 industrial elites in Brazil during 19871988. It explores why business elites can and will tolerate democracy, even when it does not always act in their specific interests. It focuses on four key variables in the tra...

Atypical employment in Germany

Assessing the Political Viability of Labor Market Reform. The Case of Employment Protection

T here is somewhat of a consensus among economists that labor market rigidities are responsible for high unemployment in Europe, and in particular for its most alarming aspects such as its long duration and high incidence on youth. Unemployment benefits lower the incentive for job search and increase wage pressure by insiders. Minimum wages price the least skilled out of the market. Firing cost...

Inequality and Mexico’s labor market after trade reform

Inequality and Employment in a Dual Economy: Enforcement of Labor Regulation in Brazil

This paper studies the impact of an increase in the enforcement of labor regulations on unemployment and inequality, using city level data from Brazil. We find that stricter enforcement (affecting the payment of mandated benefits to formal workers) leads to: higher unemployment, less income inequality, a higher proportion of formal employment, and a lower formal wage premium. Our results are co...