Abstract
The study analyzes the effect of institutional restrictions on the demand for qualified labor in Chavimochic. Institutional constraints include: regulatory quality, political stability, control of corruption, Free Trade Agreements, transaction costs, income differences and the minimum living wage. The data on the demand for qualified labor are obtained from agro-export companies established in Chavimochic, in a longitudinal and transversal period between the years 2002 to 2017. Through the regression analysis of panel-type data, it is found that regulatory quality, political stability, control of corruption, Free Trade Agreements and transaction costs have a positive and significant effect on the demand for qualified labor. On the other hand, the difference in income and the minimum living wage has a negative and significant effect. In conclusion, institutional restrictions do have an effect on the demand for qualified labor in Chavimochic.
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