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Research
Trade Topics
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Regional trade agreements
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2025
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2024
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2023
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Labor Clauses in Preferential Trade Agreements: How Do They Affect Informality?
17 May, 2025
We study the effect of the labor clauses (LCs) in preferential trade agreements (PTAs) on the informal economy. Using a sample comprising 112 countries for the period 2000-2017, we show that PTAs increase informality in low- and middle-incomeā¦