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Family Rules: Nepotism in the Mexican Judiciary

Author

Listed:
  • Brassiolo, Pablo
  • Estrada, Ricardo
  • Fajardo, Gustavo
  • Martínez-Correa, Julian
Abstract
We show that bureaucrats can exploit discretion in hiring decisions to engage in forms of favoritism that hinder organizational performance. We do this in the context of the Mexican federal judiciary. The arrival of a judge at a circuit results in the hiring of 0.05 relatives to key staff positions within the following year on average, a figure which is probably a lower bound of the overall effect. Moreover, we find that the appointment of relatives of judges to a court’s staff leads to a reduction in the court’s productivity, which indicates that such hires are motivated by rent-seeking rather than by efficiency purposes. Importantly for personnel policy, nepotistic hires are concentrated among judges who have been sanctioned for administrative offenses, those assigned to courts located in their state of birth, and those in higher-ranking positions.

Suggested Citation

  • Brassiolo, Pablo & Estrada, Ricardo & Fajardo, Gustavo & Martínez-Correa, Julian, 2021. "Family Rules: Nepotism in the Mexican Judiciary," Research Department working papers 1798, CAF Development Bank Of Latinamerica.
    • Handle: RePEc:dbl:dblwop:1798
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    File URL: https://scioteca.caf.com/handle/123456789/1798
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    References listed on IDEAS

    as
    1. Matthieu Chemin, 2020. "Judicial Efficiency and Firm Productivity: Evidence from a World Database of Judicial Reforms," The Review of Economics and Statistics, MIT Press, vol. 102(1), pages 49-64, March.
    2. Ruben Durante & Giovanna Labartino & Roberto Perotti, 2011. "Academic Dynasties: Decentralization and Familism in the Italian Academia," NBER Working Papers 17572, National Bureau of Economic Research, Inc.
    3. Nicholas Bloom & John Van Reenen, 2007. "Measuring and Explaining Management Practices Across Firms and Countries," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 122(4), pages 1351-1408.
    4. Ricardo Estrada, 2019. "Rules versus Discretion in Public Service: Teacher Hiring in Mexico," Journal of Labor Economics, University of Chicago Press, vol. 37(2), pages 545-579.
    5. Brassiolo, Pablo & Estrada, Ricardo & Fajardo, Gustavo, 2020. "My (running) mate, the mayor: Political ties and access to public sector jobs in Ecuador," Journal of Public Economics, Elsevier, vol. 191(C).
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Familia; Justicia; Productividad;
    All these keywords.

    JEL classification:

    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • J45 - Labor and Demographic Economics - - Particular Labor Markets - - - Public Sector Labor Markets

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