Legal Reform, Contract Enforcement and Firm Size in Mexico

Dougherty, S. M.

doi:10.1111/roie.12136

Cited by 32 publications

(17 citation statements)

References 30 publications

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“…Beck et al (2006) find that firm size is positively associated with institutional development (including judicial efficiency) and with the development of financial intermediaries. Similar findings have been produced in analyses exploiting within-country variations: Laeven and Woodruff (2007) and Dougherty (2012) for Mexico; García-Posada and Mora-Sanguinetti (2013) for Spain; Giacomelli and Menon (2012) for Italy. For the effect on financial market development see Bae and Goyal (2009), Qjan and Strahan (2007), Fabbri (2010; this effect has also been found exploiting the variance of judicial efficiency at the national level (Jappelli et al, 2005, for Italy;Padilla et al, 2007, for Spain;Shvets, 2012, for Russia, among others).…”

supporting

confidence: 78%

Judicial Performance and its Determinants

Palumbo

Giupponi

Nunziata

et al. 2013

OECD Economic Policy Papers

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supporting

confidence: 78%

Judicial Performance and its Determinants

Palumbo

Giupponi

Nunziata

et al. 2013

OECD Economic Policy Papers

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“…Widespread corruption reduces the benefits of accessing to public goods and services, discouraging workers to demand a formal job; it also weakens the strength of controls by the authorities which encourage firms to propose informal jobs to workers. In addition, since better legal system quality increase enterprises' size (Dougherty, 2013), reducing corruption may also indirectly limit the share of microenterprises.…”

Section: Resultsmentioning

confidence: 99%

The Determinants of Informality in Mexico's States

Dougherty

Escobar

2013

OECD Economics Department Working Papers

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JT03337967Complete document available on OLIS in its original format This document and any map included herein are without prejudice to the status of or sovereignty over any territory, to the delimitation of international frontiers and boundaries and to the name of any territory, city or area. ECO/WKP(2013) Informality has important implications for productivity, economic growth, and the inequality of income. In recent years, the extent of informal employment has increased in many of Mexico's states, though highly heterogeneously. The substantial differences across states in terms of informal employment can be helpful in explaining differences in economic growth outcomes. This paper studies the determinants of informal employment using states' diverging outcomes to identify causal factors, taking into account potential endogeneity. The results suggest that multiple factors explain differences in informal employment across states, including per capita income, the quality of labour skills, differences in the prevalence of microenterprises, the cost to start a business, restrictions on foreign investment, the rule of law and incidence of corruption.JEL classification codes: J21, O17, O54. Keywords: Informal employment, microenterprises, regulatory policy, sub-national policy analysis. ************ Les déterminants de l'informalité dans les États du MexiqueL'informalité a des implications importantes sur la productivité, la croissance économique et l'inégalité des revenus. Ces dernières années, la mesure de l'emploi informel a augmenté dans la plupart des États du Mexique, bien que de manière très hétérogène. Les différences importantes entre les États en matière d'emploi informel peuvent être utiles pour expliquer les différences dans les résultats de la croissance économique. Cet article étudie les déterminants de l'emploi informel en utilisant les résultats divergents des États pour identifier les facteurs causaux, en tenant compte de l'endogénéité potentielle. Les résultats suggèrent que plusieurs facteurs expliquent les différences dans l'emploi informel à travers les États, y compris le revenu par habitant, la qualité de la main-d'oeuvre, les différences dans la prévalence des microentreprises, le coût pour démarrer une entreprise, les restrictions sur les investissements étrangers, l'État de droit et l'incidence de la corruption.Codes JEL : J21, O17, O54. Mots clés : L'emploi informel, micro-entreprises, la politique de réglementation, l'analyse politique sousnationale. © OECD (2013)You can copy, download or print OECD content for your own use, and you can include excerpts from OECD publications, databases and multimedia products in your own documents, presentations, blogs, websites and teaching materials, provided that suitable acknowledgment of OECD as source and copyright owner is given. All requests for commercial use and translation rights should be submitted to rights@oecd.org.

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“…For Mexico, plantlevel data from the Annual Survey of Industries (EIA) and the Annual Survey of Manufacturing Industry (EAIM) -both conducted by Mexico's Institute of Statistics and Geography (INEGI)were used remotely with INEGI's support. Although the data is plant-level, they can be considered as effectively firm-level because more than 97 per cent of Mexico's firms are single-plant firms (Dougherty, 2014). Since the EIA evolved to become the EAIM, we use EIA data for years [2005][2006][2007][2008] and EAIM data for years 2009-2012.…”

Section: The Datamentioning

confidence: 99%

Could Mexico become the new ‘China'?

2016

OECD Productivity Working Papers

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Legal Reform, Contract Enforcement and Firm Size in Mexico

Cited by 32 publications

References 30 publications

Judicial Performance and its Determinants

Judicial Performance and its Determinants

The Determinants of Informality in Mexico's States

Could Mexico become the new ‘China'?

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