We assess the allocative importance of education when workers can choose to self-employ. To do so, we build a model combining educational choices with the labor market and selfemployment. Education can increase workers' ...

In this paper, I analyze the Latin American development problem using a model with input-output linkages, sectorial productivity gaps, and sector-specific distortions. I provide a characterization of the sectorial linkages ...

We take advantage of rich microdata on Colombian manufacturing establishments to decompose growth over an establishment’s life cycle into that attributable to fundamental sources of idiosyncratic growth ̶ physical productivity, ...

We investigate the extent to which financial frictions shape the aggregate effects of a trade liberalization through their impact on aggregate total factor productivity (TFP) and capital misallocation. We study a small ...

This paper explores testable implications of a simple model of spatial heterogeneity in earnings, a model in which this spatial heterogeneity arises both from differences in the places that people work and differences among ...

A taxonomy of the informal labor market is extremely important to understand and handle informality, particularly in a country as Colombia where this phenomenon is large and heterogeneous. As we will argue in this paper, ...

We study Colombia’s trade integration over a 30 year period through the lens of GE model in which non-exporters have access to a risky exporting technology and exporters must invest in accumulating a better exporting ...

This paper estimates the effect of a permanent income increase for the elderly on their health outcomes. Our regression discontinuity design exploits an eligibility cutoff in a Chilean basic pension program that grants ...

La presente investigación tiene como objetivo analizar el efecto de los instrumentos de apoyo público a la innovación sobre el desempeño productivo y la inversión en innovación de las empresas manufactureras y de servicios ...

During the economic boom of the early 2000s, most Latin American countries increased their minimum wages. In Brazil, the real minimum wage increased by upwards of 60 percent from 2003 through 2012. In this paper, we take ...