Filho, Irineu E. Carvalho; Estevão, Marcello M. - International Monetary Fund (IMF) - 2012
Even though institutions are created to protect workers, they may interfere with labor market functioning, raise … unemployment, and end up being circumvented by informal contracts. This paper uses Brazilian microeconomic data to show that the … institutional changes introduced by the 1988 Constitution lowered the sensitivity of real wages to changes in labor market slack and …