Labor inspection procedures in Brazil went through important changes in several dimensions from late 90s to mid 2000, improving the procedures efficiency. In the subsequent period formal employmentexpanded significantly. The aim of this paper is to identify whether the first fact influenced the...

In this paper we estimate the rate of return to firm investments in human capital in the form of formal job training. We use a panel of large firms withun usually detailed information on the duration of training, the direct costs of training, and several firm characteristics such as their...

This paper investigates how enforcement of labor regulation affects the firm's use of informal labor and firm performance. Using firm level data on informal employment and firm performance, and administrative data on enforcement of regulation at the city level, we show that in areas where law...

Enforcement of labor regulations in the formal sector may drive workers to informality because they increase the costs of formal labor. But better compliance with mandated benefits makes it attractive to be a formal employee. We show that, in locations with frequent inspections workers pay for...

This paper reviews international experiences with the implementation of wage subsidies and develops a policy framework to guide their design in developing countries. The evidence suggests that, if the goal is only to create jobs, wage subsidies are unlikely to be an effective instrument. Wage...

Between 1999 and 2006, Brazilian cities experienced strong growth in the provision of internet services, driven in part by the privatization of the telecommunications industry. A main concern of policymakers is that digital technology replaces routine, manual tasks, displacing lower-skilled...

One of the main concerns with youths is the nem-nems, which correspond to the group of youths that are not investing in their productive skills through the activities of either studying or working. This study analyzes data from National Household Sample Survey (Pesquisa Nacional por Amostra de...

Several episodes of market-oriented reforms in developing countries have been accompanied by a significant rise in work outside of the formal economy. This paper investigates whether the impact of increased exposure to trade on formal employment is mediated by the strength of labour regulations....

This paper revisits the question of how trade openness affects labor market outcomes in a developing country setting. We explore the fact that plants face varying degrees of exposure to global markets and to the enforcement of labor market regulations, and rely on Brazil's currency crisis in...

We study the intergenerational effects of maternal education on children's cognitive achievement, behavioral problems, grade repetition and obesity. We address endogeneity of maternal schooling by instrumenting with variation in schooling costs when the mother grew up. Using matched data from...