Spatial Dynamics of Labor Markets in Brazil
There was substantial spatial variation in labor market outcomes in Brazil over the 1990s. In 2000, about one-fifth of workers lived in apparently economically stagnant municipios where real wages declined but employment increased faster than the national population growth rate. More than one-third...
| Main Authors: | , , , |
|---|---|
| Format: | Policy Research Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2012
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2005/10/6350079/spatial-dynamics-labor-markets-brazil http://hdl.handle.net/10986/8527 |
| id |
okr-10986-8527 |
|---|---|
| recordtype |
oai_dc |
| spelling |
okr-10986-85272021-04-23T14:02:43Z Spatial Dynamics of Labor Markets in Brazil Chomitz, Kenneth M. da Mata, Daniel de Carvalho, Alexandre Ywata Magalhães, João Carlos ACCELERATOR ACCELERATOR EFFECT AGRICULTURE ASSETS BASIC EDUCATION CAPITAL INVESTMENT CAPITAL STOCK CAPITAL THEORY CITIES COST OF LIVING DEMAND CURVE DEMAND ELASTICITY DETERMINANTS OF GROWTH DEVELOPING COUNTRIES DEVELOPMENT BANKS DEVELOPMENT POLICIES DEVELOPMENT PROJECTS DEVELOPMENT RESEARCH DEVELOPMENT STRATEGIES DISPLACEMENT ECONOMETRICS ECONOMIC ACTIVITY ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC RESEARCH ECONOMIC STAGNATION ECONOMICS EDUCATIONAL LEVEL EDUCATIONAL LEVELS ELASTICITY EMPLOYMENT EMPLOYMENT GROWTH EMPLOYMENT GROWTH RATES EMPLOYMENT LEVELS ENDOGENOUS VARIABLE ENDOGENOUS VARIABLES ESTIMATED COEFFICIENT EXPLANATORY VARIABLES FEMALE LABOR FEMALE LABOR FORCE GDP GDP PER CAPITA GROWTH MODELS GROWTH PROSPECTS GROWTH RATE GROWTH REGRESSIONS HOUSEHOLD INCOME HOUSEHOLD SURVEY HUMAN CAPITAL HUMAN DEVELOPMENT INCOME GROWTH INCOME INEQUALITY INCOME LEVELS INCOME PER CAPITA INCREASE IN LABOR INCREASING RETURNS INFLATION JOBS LABOR DEMAND LABOR FORCE LABOR FORCE GROWTH LABOR FORCE PARTICIPATION LABOR MARKET LABOR MARKET OUTCOMES LABOR MARKETS LABOR MOBILITY LABOR MOVEMENTS LABOR SUPPLY LOCAL FIRMS LOCAL GOVERNMENT LONG-RUN GROWTH MARGINAL PRODUCT MEAN INCOME MEAN INCOMES METROPOLITAN AREAS MIGRATION MONETARY ECONOMICS MULTIPLIER EFFECT MULTIPLIER EFFECTS MUNICIPALITIES NATURAL RESOURCES NEGATIVE EFFECT NET EMPLOYMENT PENSIONS PER CAPITA INCOME PER CAPITA INCOME LEVELS PER CAPITA INCOMES POLICY INTERVENTIONS POLICY RESEARCH POLITICAL ECONOMY POOR PEOPLE PRICE INDEXES PRICE LEVELS PRODUCTION FUNCTION PRODUCTIVITY PRODUCTIVITY GROWTH RAPID GROWTH REAL WAGE REAL WAGES REGIONAL INEQUALITIES REGIONAL INEQUALITY RURAL EMPLOYMENT SIGNIFICANT IMPACT STANDARD DEVIATION TAX SUBSIDIES TECHNOLOGICAL CHANGE TRANSPORT URBAN AREAS WAGE GROWTH WAGE INEQUALITY WAGE LEVEL WAGE LEVELS WAGE RATE WEALTH WORKER WORKERS There was substantial spatial variation in labor market outcomes in Brazil over the 1990s. In 2000, about one-fifth of workers lived in apparently economically stagnant municipios where real wages declined but employment increased faster than the national population growth rate. More than one-third lived in apparently dynamic municipios, experiencing both real wage growth and faster-than-average employment growth. These areas absorbed more than half of net employment growth over the period. To elucidate this spatial variation, the authors estimate spatial labor supply and demand equations describing wage and employment changes of Brazilian municipios. They use Conley's spatial GMM technique to allow for instrumental variable estimation in the presence of spatially autocorrelated errors. The main findings include: (1) a very strong influence of initial workforce educational levels on subsequent wage growth (controlling for possibly confounding variables such as remoteness and climate); (2) evidence of positive spillover effects of own-municipio growth onto neighbors' wage and employment levels; (3) an exodus from farming areas; (4) relatively elastic response of wages to an increase in labor supply; and (5) evidence of a local multiplier effect from government transfers. 2012-06-20T15:49:15Z 2012-06-20T15:49:15Z 2005-10 http://documents.worldbank.org/curated/en/2005/10/6350079/spatial-dynamics-labor-markets-brazil http://hdl.handle.net/10986/8527 English Policy Research Working Paper; No.3752 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Latin America & Caribbean Brazil |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
ACCELERATOR ACCELERATOR EFFECT AGRICULTURE ASSETS BASIC EDUCATION CAPITAL INVESTMENT CAPITAL STOCK CAPITAL THEORY CITIES COST OF LIVING DEMAND CURVE DEMAND ELASTICITY DETERMINANTS OF GROWTH DEVELOPING COUNTRIES DEVELOPMENT BANKS DEVELOPMENT POLICIES DEVELOPMENT PROJECTS DEVELOPMENT RESEARCH DEVELOPMENT STRATEGIES DISPLACEMENT ECONOMETRICS ECONOMIC ACTIVITY ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC RESEARCH ECONOMIC STAGNATION ECONOMICS EDUCATIONAL LEVEL EDUCATIONAL LEVELS ELASTICITY EMPLOYMENT EMPLOYMENT GROWTH EMPLOYMENT GROWTH RATES EMPLOYMENT LEVELS ENDOGENOUS VARIABLE ENDOGENOUS VARIABLES ESTIMATED COEFFICIENT EXPLANATORY VARIABLES FEMALE LABOR FEMALE LABOR FORCE GDP GDP PER CAPITA GROWTH MODELS GROWTH PROSPECTS GROWTH RATE GROWTH REGRESSIONS HOUSEHOLD INCOME HOUSEHOLD SURVEY HUMAN CAPITAL HUMAN DEVELOPMENT INCOME GROWTH INCOME INEQUALITY INCOME LEVELS INCOME PER CAPITA INCREASE IN LABOR INCREASING RETURNS INFLATION JOBS LABOR DEMAND LABOR FORCE LABOR FORCE GROWTH LABOR FORCE PARTICIPATION LABOR MARKET LABOR MARKET OUTCOMES LABOR MARKETS LABOR MOBILITY LABOR MOVEMENTS LABOR SUPPLY LOCAL FIRMS LOCAL GOVERNMENT LONG-RUN GROWTH MARGINAL PRODUCT MEAN INCOME MEAN INCOMES METROPOLITAN AREAS MIGRATION MONETARY ECONOMICS MULTIPLIER EFFECT MULTIPLIER EFFECTS MUNICIPALITIES NATURAL RESOURCES NEGATIVE EFFECT NET EMPLOYMENT PENSIONS PER CAPITA INCOME PER CAPITA INCOME LEVELS PER CAPITA INCOMES POLICY INTERVENTIONS POLICY RESEARCH POLITICAL ECONOMY POOR PEOPLE PRICE INDEXES PRICE LEVELS PRODUCTION FUNCTION PRODUCTIVITY PRODUCTIVITY GROWTH RAPID GROWTH REAL WAGE REAL WAGES REGIONAL INEQUALITIES REGIONAL INEQUALITY RURAL EMPLOYMENT SIGNIFICANT IMPACT STANDARD DEVIATION TAX SUBSIDIES TECHNOLOGICAL CHANGE TRANSPORT URBAN AREAS WAGE GROWTH WAGE INEQUALITY WAGE LEVEL WAGE LEVELS WAGE RATE WEALTH WORKER WORKERS |
| spellingShingle |
ACCELERATOR ACCELERATOR EFFECT AGRICULTURE ASSETS BASIC EDUCATION CAPITAL INVESTMENT CAPITAL STOCK CAPITAL THEORY CITIES COST OF LIVING DEMAND CURVE DEMAND ELASTICITY DETERMINANTS OF GROWTH DEVELOPING COUNTRIES DEVELOPMENT BANKS DEVELOPMENT POLICIES DEVELOPMENT PROJECTS DEVELOPMENT RESEARCH DEVELOPMENT STRATEGIES DISPLACEMENT ECONOMETRICS ECONOMIC ACTIVITY ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC RESEARCH ECONOMIC STAGNATION ECONOMICS EDUCATIONAL LEVEL EDUCATIONAL LEVELS ELASTICITY EMPLOYMENT EMPLOYMENT GROWTH EMPLOYMENT GROWTH RATES EMPLOYMENT LEVELS ENDOGENOUS VARIABLE ENDOGENOUS VARIABLES ESTIMATED COEFFICIENT EXPLANATORY VARIABLES FEMALE LABOR FEMALE LABOR FORCE GDP GDP PER CAPITA GROWTH MODELS GROWTH PROSPECTS GROWTH RATE GROWTH REGRESSIONS HOUSEHOLD INCOME HOUSEHOLD SURVEY HUMAN CAPITAL HUMAN DEVELOPMENT INCOME GROWTH INCOME INEQUALITY INCOME LEVELS INCOME PER CAPITA INCREASE IN LABOR INCREASING RETURNS INFLATION JOBS LABOR DEMAND LABOR FORCE LABOR FORCE GROWTH LABOR FORCE PARTICIPATION LABOR MARKET LABOR MARKET OUTCOMES LABOR MARKETS LABOR MOBILITY LABOR MOVEMENTS LABOR SUPPLY LOCAL FIRMS LOCAL GOVERNMENT LONG-RUN GROWTH MARGINAL PRODUCT MEAN INCOME MEAN INCOMES METROPOLITAN AREAS MIGRATION MONETARY ECONOMICS MULTIPLIER EFFECT MULTIPLIER EFFECTS MUNICIPALITIES NATURAL RESOURCES NEGATIVE EFFECT NET EMPLOYMENT PENSIONS PER CAPITA INCOME PER CAPITA INCOME LEVELS PER CAPITA INCOMES POLICY INTERVENTIONS POLICY RESEARCH POLITICAL ECONOMY POOR PEOPLE PRICE INDEXES PRICE LEVELS PRODUCTION FUNCTION PRODUCTIVITY PRODUCTIVITY GROWTH RAPID GROWTH REAL WAGE REAL WAGES REGIONAL INEQUALITIES REGIONAL INEQUALITY RURAL EMPLOYMENT SIGNIFICANT IMPACT STANDARD DEVIATION TAX SUBSIDIES TECHNOLOGICAL CHANGE TRANSPORT URBAN AREAS WAGE GROWTH WAGE INEQUALITY WAGE LEVEL WAGE LEVELS WAGE RATE WEALTH WORKER WORKERS Chomitz, Kenneth M. da Mata, Daniel de Carvalho, Alexandre Ywata Magalhães, João Carlos Spatial Dynamics of Labor Markets in Brazil |
| geographic_facet |
Latin America & Caribbean Brazil |
| relation |
Policy Research Working Paper; No.3752 |
| description |
There was substantial spatial variation in labor market outcomes in Brazil over the 1990s. In 2000, about one-fifth of workers lived in apparently economically stagnant municipios where real wages declined but employment increased faster than the national population growth rate. More than one-third lived in apparently dynamic municipios, experiencing both real wage growth and faster-than-average employment growth. These areas absorbed more than half of net employment growth over the period. To elucidate this spatial variation, the authors estimate spatial labor supply and demand equations describing wage and employment changes of Brazilian municipios. They use Conley's spatial GMM technique to allow for instrumental variable estimation in the presence of spatially autocorrelated errors. The main findings include: (1) a very strong influence of initial workforce educational levels on subsequent wage growth (controlling for possibly confounding variables such as remoteness and climate); (2) evidence of positive spillover effects of own-municipio growth onto neighbors' wage and employment levels; (3) an exodus from farming areas; (4) relatively elastic response of wages to an increase in labor supply; and (5) evidence of a local multiplier effect from government transfers. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Chomitz, Kenneth M. da Mata, Daniel de Carvalho, Alexandre Ywata Magalhães, João Carlos |
| author_facet |
Chomitz, Kenneth M. da Mata, Daniel de Carvalho, Alexandre Ywata Magalhães, João Carlos |
| author_sort |
Chomitz, Kenneth M. |
| title |
Spatial Dynamics of Labor Markets in Brazil |
| title_short |
Spatial Dynamics of Labor Markets in Brazil |
| title_full |
Spatial Dynamics of Labor Markets in Brazil |
| title_fullStr |
Spatial Dynamics of Labor Markets in Brazil |
| title_full_unstemmed |
Spatial Dynamics of Labor Markets in Brazil |
| title_sort |
spatial dynamics of labor markets in brazil |
| publisher |
World Bank, Washington, DC |
| publishDate |
2012 |
| url |
http://documents.worldbank.org/curated/en/2005/10/6350079/spatial-dynamics-labor-markets-brazil http://hdl.handle.net/10986/8527 |
| _version_ |
1764407976964128768 |