NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Claudio E. Montenegro

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NBER Working Papers and Publications

August 2004Who Benefits from Labor Market Regulations? Chile, 1960-1998
with Carmen Pagés
in Law and Employment: Lessons from Latin America and the Caribbean, James J. Heckman and Carmen Pagés, editors
July 2003Who Benefits from Labor Market Regulations? Chile 1960-1998
with Carmen Pages: w9850
Economists have examined the impact of labor market regulations on the level of employment. However, there are many reasons to suspect that the impact of regulations differs across types of workers. In this paper we take advantage of the unusual large variance in labor policy in Chile to exa mine how different labor market regulations affect the distribution of employment and the employment rates across age, gender and skill levels. To this effect, we use a sample of repeated cross-section household surveys spanning the period 1960-1998 and measures of the evolution of job security provisions and minimum wages across time. Our results suggest large distribution effects. We find that employment security provisions and minimum wages reduce the share of youth and unskilled employment as well ...

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