Pedro Portugal (1958), a citizen of Portugal, graduated in economics at Faculdade de Economia do Porto and received his PhD at the University of South Carolina. He is currently a senior researcher at the Bank of Portugal and visiting full professor of economics at Nova School of Business and Economics. Since 2012, he is also a member of the Conselho Nacional de Ciência e Tecnologia.
His main area of interest is applied labor economics, focusing on issues of microeconomics of unemployment, unemployment compensation, wage bargaining, job security, and worker displacement. Pedro Portugal has published in the major economics and labor economics journals, including the American Economic Review, Review of Economics and Statistics, Journal of the European Economic Association, Economic Policy, Oxford Bulletin of Economics and Statistics, Economica, Journal of Labor Economics, Journal of Human Resources, and Industrial and Labor Relations Review.
He has also published in other fields, namely in Macroeconomics, Industrial Economics and Strategic Management, including the American Economic Journal: Macroeconomics, Journal of Industrial Economics, International Journal of Industrial Organization, Small Business Economics and Strategic Management Journal.

He joined IZA as a Research Fellow in December 2004.



IZA Discussion Paper No. 10895
Sónia Félix, Pedro Portugal, Ana Tavares

This paper investigates the impact of drug decriminalization in Portugal using the Synthetic Control Method. The applied econometric methodology compares Portuguese drug-related variables with the ones extracted from a convex combination of similar European countries. The results suggest that a policy change implemented in Portugal contributed to a decrease in...

IZA Discussion Paper No. 10510

In Portugal, as in many other countries in continental Europe, the collective wage agreements between trade unions and employer associations that define wage floors for specific job titles are systematically extended to the whole industry. This means that many firms are obliged to increase the wages of their workforce in...

IZA Discussion Paper No. 10241
Sónia Félix, Pedro Portugal

We use matched employer-employee data and firm balance sheet data to investigate the importance of firm productivity and firm labor market power in explaining firm heterogeneity in wage formation. We use a linear regression model with one interacted high dimensional fixed effect to estimate 5-digit sector-specific elasticity of output with...

IZA Discussion Paper No. 9221

This paper provides estimates of the union wage gap in Portugal, a nation until recently lacking independent data on union density at firm level. Having estimated nonlinear and linear estimates of the effect of union density on the wage gap, the next stage of the analysis seeks to account for...

IZA Discussion Paper No. 9220

Using an unusually rich matched employer-employee-job title data set for Portugal, this paper evaluates the sources of wage losses of workers displaced due to firm closure based on the comparison of workers' wages differentials before and after displacement. Potential wage losses of displaced workers can be related to firm, job...

IZA Discussion Paper No. 8943
revised version published as 'Unions and Collective Bargaining in the Wake of the Great Recession: Evidence from Portugal' in: British Journal of Industrial Relations, 2017, 55(3), 551-576.

This paper provides the first definitive estimates of union density in Portugal, 2010-2012, using a unique dataset. The determinants of union density at firm level are first modeled. Next, we draw upon a very recent study of the union wage premium to provide summary estimates of the union wage gap...

IZA Discussion Paper No. 8848
Sónia Félix, Pedro Portugal
forthcoming in: International Journal of Drug Policy

This study is an empirical assessment of the impact of the drug decriminalization policy followed by Portugal in July, 2001. We investigate especially the impact of the policy change on the price of illicit drugs. The analysis is performed using a difference-in-differences approach and a comprehensive set of countries as...

IZA Discussion Paper No. 8785

On January 1st 1994 Portugal introduced, for the first time, inflation indexation in the old-age pension formula. This change considerably decreased the uncertainty regarding the perception of the link between the stream of labor earnings and future pensions. The effect of indexation was large and, by itself, increased the expected...

IZA Discussion Paper No. 8125
published in: Labour Economics, 2014, 30, 4-11

At first blush, most advances in labour demand were achieved by the late 1980s. Since then progress might appear to have stalled. We argue to the contrary that significant progress has been made in understanding labour market frictions and imperfections, and in modelling search behaviour and heterogeneous preferences. Perhaps most...

IZA Discussion Paper No. 7670
published in: Journal of Macroeconomics, 2014, 39 (Part B): 444-457

In this article we study the resilience of the Portuguese labor market, in terms of job flows, employment and wage developments, in the context of the current recession. We single out the huge contribution of job destruction, especially due to the closing of existing firms, to the dramatic decline of...