Socio-economic and political consequences of labor market shocks: Evidence from Brazil
by Laura Diniz Penteado de Barros
Date of Examination:2024-06-27
Date of issue:2024-11-22
Advisor:Prof. Dr. Krisztina Kis-Katos
Referee:Prof. Dr. Michael Grimm
Referee:Prof. Dr. Marcela Ibanez
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Abstract
English
This dissertation contributes to the literature by presenting novel empirical evidence on the unexpected socio-economic and political consequences of labor market shocks in Brazil. Chapter two highlights the importance of considering the intersectional effects of large-scale shocks in a context marked by historically high gender and racial wage inequalities. Additionally, it shows that economic shocks have highly heterogeneous effects, which cannot be fully captured by only analyzing effects at the mean. Chapter three also contributes to the understanding of the heterogeneous effects of large-scale shocks by showing that, in Brazil, support for far-right populism was related to the differential exposure of men and women to an economic recession. Several right-wing and populist parties promote traditional gender roles and conservative norms of masculinity, implying that our findings may be relevant for understanding the rise of far-right and extreme parties in contexts beyond Brazil. Chapter four examines the link between economic shocks and political participation from the perspective of the supply of politicians. While the existing literature focuses on the behavior of voters, we document that economic shocks also affect individuals' decisions to engage with politics. Politicians play a crucial role for aggregating citizens' preferences and providing public goods, which highlights the relevance of understanding this research question in the context of a developing country.
Keywords: Economic shocks; Gender; Intersectionality; Voting; Political selection; Brazil