Discussion papers are not formal publications of the World Bank. They represent preliminary and often unpolished results of country analysis and research. Circulation is intended to encourage discussion and comments; citation and the use of the paper should take account of its provisional character. The findings and conclusions of the paper are entirely those of the authors and should not be attributed to the World Bank, its affiliated organizations, or to members of its Board of Executive Directors or the countries they represent. ________________________ The authors wish to thank Manuel Felix for providing excellent research support, Martin Rama for making available an international database on employment and labor market regulations, and T.G. Srinivasan for contributing data on trade
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