The economic literature has spent decades of analytical effort in order to provide theoretical and empirical evidence on behavior differences between firms managed by capital (conventional capitalist firms) and firms managed by labor (including cooperatives and professional associations), mainly...

We provide evidence about the determinants of the wage structures of developing countries by examining the case of Brazil. Our specific question is whether Brazil’s dramatic income and wage differentials can be explained by the division of rents between firms and their employees, unlike in...