TY - RPRT AU - Tejada, Mauricio AU - Piras, Claudia AU - Flabbi, Luca AU - Bustelo, Monserrat TI - Gender Gaps in Latin American Labor Markets: Implications from an Estimated Search Model PY - 2021/Mar/ PB - Institute of Labor Economics (IZA) CY - Bonn T2 - IZA Discussion Paper IS - 14186 UR - https://www.iza.org/index.php/publications/dp14186 AB - We develop and estimate a search model that captures the specific characteristics of Latin America and Caribbean (LAC) labor markets and the crucial differences between men and women. Labor force participation decisions are integrated in the labor market dynamics, taking into account sample selection over unobservables. The model is estimated on four LAC countries (Argentina, Chile, Colombia and Mexico) and on three education levels (Primary, Secondary and Tertiary). We use the estimated model to study changes in gender gaps and in output implied by policies that increase the labor force participation of women. We focus on four policies: an increase in the provision of child care, an increase in average female productivity, a gender-based contribution rate for formal employees, and changes in formality and informality costs. We find that the impact on the extensive margin of the female labor supply is the main channel responsible for the policy-induced increase in output. KW - Nash bargaining KW - search and matching KW - labor market frictions KW - female labor force participation KW - gender gaps KW - informality ER -