Retornos Salariais Privados ao Cargo Político
brazilian politcs. private return. discontinuity regression design.
This dissertation investigates the existence of mutual benefits between companies and politicians in Brazil, using the labor market as a basis and exploring the characteristics of the country’s electoral and political system, particularly with regard to the position of municipal councilor (Vereador). To this end, two Regression Discontinuity models were conducted, using election data, information on remuneration, and data on contracts between companies and municipalities. The results indicate that elected politicians have higher earnings in the labor market compared to the almost-elected. Furthermore, companies that hired elected politicians tend to enter into more contracts with municipalities. These results suggest the existence of mutual benefits between companies and politicians in Brazil, where companies hire elected politicians in search of contractual advantages, and these politicians, in turn, benefit from higher earnings.