Minimum wage (MW) policies are an old and controversial tradition in Latin America. Controversy develops principally on the different effects that in standard economic analysis are associated to MW policies such as creation of larger unemployment, higher

In this paper we estimate the rate of return to investments in formal schooling for the Chilean case. The study covers six different years and the estimations have proceed through the methodology of cost-benefit analysis. In estimating the monetary benefi

The main purpose of this paper is to measure the importance of labor market distortions in explaining the marked tendencies to revalue the real exchange rate and low effectiveness of devaluation in Latin America. To do so, an empirical model for analyzing

The hypothesis under analysis in this paper is about the existence of wage arbitration in the Chilean labor market throughout the 1970's. The reduced form of a wage setting equation based upon a human capital model is used by statistically comparing its b

Promoting non-traditional exports is a crucial policy target in most LDCs. Until now, policies addressing the likely negative effect of labor market distortions on exports have not relied upon direct empirical evidence on the impact of labor costs. Throug

The role of minimum wages in the process of adjustment is important in connection with labor market rigidities and smoother labor reallocation across sectors. In the case of industrial countries, studies on the impact of the minimum wage on specific labor

This paper analyzes the econometric implications when the unemployment inflation trade-off is estimated assuming that equilibrium in the labour market follows a two sector (formal-informal) expected income behavior model. The most remarkable features of t