More than half of those who emigrate from developing countries move to other developing countries, yet there have been few studies of the impact of this South-South migration. In this paper, we examine the impact of migration from one developing country, Nicaragua, on the labor market in another...

The dual economy development models hold minimum wages (among other institutions) accountable for persistent dualism. We use 12 years of micro data on thousands workers in Costa Rica to test whether legal minimum wages have a differential impact on wages in the formal sector vs. informal sector,...

Despite increasing average real family incomes in Costa Rica in the late 1990s and early 2000s, poverty rates did not fall. In this paper, we argue that during this period economic growth in Costa Rica did not translate into reduced poverty because of changes in family structure and in the labor...

This paper investigates the effects of legal minimum wages on wages, employment, hours worked and monthly earnings among workers covered by minimum wage legislation as well as those for whom it does not apply (the uncovered sector) in Costa Rica. This country’s large uncovered sector and...

This paper contributes to our understanding of the impact of institutions on incomes of workers in developing countries by rigorously addressing the question as to whether changes in minimum wages can change the inequality of the distribution of earnings. More specifically, we analyze whether...

In August 2010 the Costa Rican government implemented a comprehensive program to increase compliance with legal minimum wages, the Campaign for Minimum Wages. To evaluate the impact of the Campaign, we use a regression discontinuity approach, which compares what happened to workers who before...

Using a common methodology, the effects of unions on wage levels and wage dispersion are estimated for two neighboring countries, Bolivia and Chile, and for the U.S. The analysis shows that unions have broadly similar effects on the wage distribution within these three economies. The findings...

We analyze differences by gender in the time dedicated to total work (paid and unpaid) by families in Latin America, with particular attention to the effect of social norms. To this end, we use survey data on time use in Mexico (2009), Peru (2010), Ecuador (2012) and Colombia (2012), to estimate...

This paper analyzes, using country-level panel data from transition economies and Latin America, the impact of labor market institutions on informal economic activity. The measure of informal economic activity is taken from Schneider et al. (2010), the most comprehensive study to date. The data...

The international business cycle is very important for Latin America’s economic performance as the recent global crisis vividly illustrated. This paper investigates how changes in trade linkages between China, Latin America, and the rest of the world have altered the transmission mechanism of...