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Title: Three essays on the Mexican labour market
Author: Iriarte Rivas, Cesar Gustavo
ISNI:       0000 0004 7226 8305
Awarding Body: University of Sussex
Current Institution: University of Sussex
Date of Award: 2018
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The present thesis aims to contribute to the understanding of labour economics in Mexico. In particular, the decisions of individuals to enter a job in the formal or informal sector and how workers differ in terms of wage and time spent unemployed. Also analysing the effect of high levels of violence on wages. In the first chapter, search channels are analysed. The results reveal that women benefit more in securing formal jobs when searching on-line, newspaper and via allocation offices. Men benefit from friends and family to secure informal jobs. Searching online for jobs implies a wage premium of 12.3% for formal workers and 7.0% for informal ones. Searching for jobs in the newspaper, implies a wage penalty of 5.24%. These results are robust after the correction for the potential issue of selection bias. In the second chapter, the duration of unemployment is analysed. Both the single and multiple destination models permit us to conclude that going directly to the workplace and searching for jobs via newspaper reduce the time unemployed for those exiting into a formal job. Asking friends and relatives increases the hazard for those securing an informal job. These results are robust to the inclusion of unobserved heterogeneity in the estimation. The third chapter offers an explanation of the impact that the presence of Drug Trafficking Organizations in Mexican municipalities on the wages of individuals. It also offers an explanation of the impact for both formal and informal workers. The estimation results of the preferred specification after instrumenting violence and the presence of DTOs to address reverse causality, yields a positive effect of the presence of DTOs, but no effect of violence. More specifically, an additional DTO per municipality increases wages by 5.7%. The impact on wages is not statistically different for formal and informal workers.
Supervisor: Not available Sponsor: Not available
Qualification Name: Thesis (Ph.D.) Qualification Level: Doctoral
EThOS ID:  DOI: Not available
Keywords: HD8111 Mexico