Public institutions and private transactions : the legal and regulatory environment for business private transactions in Brazil and Chile

摘要: Drawing on the new institutional economics, authors examine impact businesses of Brazil's relatively complex, nontransparent legal and regulatory institutions compare their costs with those Chile's institutions, which are simple. They four basic areas where could create critical obstacles to efficiency in garment industries Sao Paulo Santiago: (a) start-up a business (entry); (b) regulation business; (c) orders by customers firms; (d) sales credit. find that Chilean transactions benefit from simplicity more consistent enforcement than Brazil, but these perceived advantages offset because differences between formal law practice Brazil. In two areas, Brazil has evolved some effective substitutes reduce would otherwise have been imposed inefficient institutions. entry businesses, professions transform process registering potentially tortuous obstacle path into fairly affordable one-stop process. debt collection, information systems limit need resort system. Nevertheless, raises cost for Brazilian businesses. Costs further raised greater uncertainty frequent renegotiation orders.