Arbeitspapier
Increasing the cost of informal workers: Evidence from Mexico
This paper estimates the effects of increasing the cost of informal jobs on formal firms' and workers' outcomes. We create novel datasets combining administrative records and household surveys data, and exploit exogenous variation in this cost generated by over 480,000 random work-site inspections in Mexico. Increasing the cost of informal jobs at formal firms leads to lower employment growth, lower formal job creation, and higher formal and informal job destruction. For informal workers, inspections increase the probability of being formalized at the inspected firm, but also increase the probability of dissolving the informal match. Transitioning to a formal job due to an inspection increases the probability of being poached to a new, formal job.
- Sprache
-
Englisch
- Erschienen in
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Series: Working Papers ; No. 2020-19
- Klassifikation
-
Wirtschaft
Firm Behavior: Empirical Analysis
Informal Economy; Underground Economy
Informal Labor Markets
- Thema
-
Firm Behavior
Informal Economy
Informal Labor Market
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Samaniego de la Parra, Brenda
Fernández Bujanda, León
- Ereignis
-
Veröffentlichung
- (wer)
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Banco de México
- (wo)
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Ciudad de México
- (wann)
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2020
- Handle
- Letzte Aktualisierung
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10.03.2025, 11:42 MEZ
Datenpartner
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Objekttyp
- Arbeitspapier
Beteiligte
- Samaniego de la Parra, Brenda
- Fernández Bujanda, León
- Banco de México
Entstanden
- 2020