Economics and Law Departments
Instituto Tecnologico Autonomo de Mexico
Institutional Affiliation: ITAM
Information about this author at RePEc
NBER Working Papers and Publications
|October 2018||Information and Bargaining through Agents: Experimental Evidence from Mexico’s Labor Courts|
with Enrique Seira, Christopher Woodruff: w25137
While observers agree that courts function poorly in developing countries, a lack of data has limited our understanding of the causes of malfunction. We combine data from administrative records on severance cases filed in the Mexico City Labor Court with interventions that provide information to parties in randomly selected cases on predicted case outcomes and conciliation services. We first use the data to document a set of stylized facts about the functioning of the court. The interventions nearly double the overall settlement rate, but only when the plaintiff herself is present to receive the information directly. Administrative records from six months after the treatment indicate that the treatment effects remain unchanged over that period, even though an additional one in three cases ...