London School of Economics
London WC2A 2AE
Institutional Affiliation: London School of Economics
NBER Working Papers and Publications
|April 2019||Job Displacement Insurance and (the Lack of) Consumption-Smoothing|
with François Gerard: w25749
The most common forms of government-mandated job displacement insurance are Severance Pay (SP; lump-sum payments at layoff) and Unemployment Insurance (UI; periodic payments contingent on nonemployment). While there is a vast literature on UI, SP programs have received much less attention, even though they are prevalent across countries and predominant in developing countries. In particular, little is known about their insurance value, which critically relies on workers’ ability to dissave the lump-sum progressively to smooth consumption after layoff. Using de-identified high-frequency expenditure data and matched employee-employer data from Brazil, we find that displaced workers eligible for both UI and SP increase consumption at layoff by 35% despite experiencing a 17% consumption loss a...
|July 2010||Understanding High Crime Rates in Latin America: The Role of Social and Policy Factors|
with Rodrigo R. Soares
in The Economics of Crime: Lessons for and from Latin America, Rafael Di Tella, Sebastian Edwards, and Ernesto Schargrodsky, editors
|October 2007||Rent Seeking and the Unveiling of 'De Facto' Institutions: Development and Colonial Heritage within Brazil|
with Rodrigo R. Soares, Juliano J. Assunção: w13545
This paper analyzes the roots of variation in de facto institutions, within a constant de jure institutional setting. We explore the role of rent-seeking episodes in colonial Brazil as determinants of the quality of current local institutions, and argue that this variation reveals a de facto dimension of institutional quality. We show that municipalities with origins tracing back to the sugar-cane colonial cycle -- characterized by a polarized and oligarchic socioeconomic structure -- display today more inequality in the distribution of land. Municipalities with origins tracing back to the gold colonial cycle -- characterized by an over-bureaucratic and heavily intervening presence of the Portuguese state -- display today worse governance practices and less access to justice. The colonial ...