NBER

Joyce Sadka

Economics and Law Departments
Instituto Tecnologico Autonomo de Mexico
Mexico City
MX

E-Mail: EmailAddress: hidden: you can email any NBER-related person as first underscore last at nber dot org
Institutional Affiliation: Instituto Tecnológico Autónomo de México

NBER Working Papers and Publications

October 2018Information 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 ...

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