informalization of the urban labor market. Enforcement of the law, however, varies substantially across cities. The paper analyzes the … determinants of worker satisfaction with the enforcement of the law, the propensity of workers to have a labor contract, workers …

How does enforcement of labor regulations shape the labor market effects of trade? To tackle this question, we exploit … enforcement across local labor markets. Regions with stricter enforcement observed no increase in informal employment but large … disemployment effects. Regions with weaker enforcement had no employment losses but substantial increases in informality. All …

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 … wage premium. Our results are consistent with a model where stricter enforcement causes a contraction in labor demand in …

negative correlation between union density and the quality of labor relations on one hand, and state regulation of the minimum … regulation crowds out the possibility for workers to experiment negotiation and learn about the true cooperative nature of … by strong beliefs in cooperation, leading to high union density and low state regulation; and a "bad" equilibrium …