Instituições e a Informalidade no Mercado de Trabalho
This paper aims to develop a model capable of reconciling some of the maininstitutional aspects relative to labor market informality. It is a two-sector, formaland informal, matching model that incorporates the main trade-offs faced by workersand firms when deciding in which sector they are going to enter. The model presentsan innovation that makes it more coherent with most stylized facts and recentempirical evidence. Policy simulation?s results show that the model can be used toanalyze the effects of several institutional changes over a great number of crucialvariables of the Brazilian labor market.
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