Judge Bias in Labor Courts and Firm Performance.

Does labor court uncertainty and judge subjectivity influence firms' performance? We study the economic consequences of judge decisions by collecting information on more than 145,000 Appeal court rulings, combined with administrative firm-level records covering the whole universe of French firm...

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Dades bibliogràfiques
Format: Revista
Idioma:English
Publicat: Washington, D.C. : International Monetary Fund, 2021.
Col·lecció:IMF Working Papers; Working Paper ; No. 2021/031
Accés en línia:Full text available on IMF
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500 |a <strong>On-Campus Access:</strong> No User ID or Password Required 
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520 3 |a Does labor court uncertainty and judge subjectivity influence firms' performance? We study the economic consequences of judge decisions by collecting information on more than 145,000 Appeal court rulings, combined with administrative firm-level records covering the whole universe of French firms. The quasi-random assignment of judges to cases reveals that judge bias has statistically significant effects on the survival, employment, and sales of small low-performing firms. However, we find that the uncertainty associated with the actual dispersion of judge bias is small and has a non-significant impact on their average outcomes. 
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