Increasing the Cost of Informal Employment: Evidence from Mexicot

• 成果类型: Article
• 署名作者: de la Parra, Brenda Samaniego; Bujanda, Leon Fernandez
• 署名单位: University of California System; University of California Santa Cruz; Bank of Mexico
• 刊物名称: AMERICAN ECONOMIC JOURNAL-APPLIED ECONOMICS
• ISSN/ISSBN: 1945-7782
• DOI: 10.1257/app.20200763
• 发表日期: 2024
• 页码: 377-411
• 关键词: labor-markets; sector; ENFORCEMENT; taxation

摘要

We estimate the effect of increasing the cost of informal jobs on formal firms' and workers' outcomes. We combine administrative records and household surveys and exploit exogenous variation in the cost of informality generated by over 480,000 random worksite ily increase the probability of being formalized at the inspected firm, but separations also rise. For formal workers, we find temporary increases in the probability of remaining formally employed at the inspected firm and in monthly wages. At the firm level, increasing the cost of informal jobs leads to persistently lower formal employment.