ABSTRACT
The aim of this chapter is to assess the changes on formal employment and earnings in the city of Rio de Janeiro during the Olympic cycle. To this end, we used establishment-level microdata from RAIS (Social Information Annual Records). Among the various economic sectors with direct or indirect Olympic potential, we have chosen six that we believe may together represent a good share of the direct impacts expected on the formal labor market during the preparation phase for the event: construction, tourism, accommodation and food, sports, real estate and public administration. In general, bivariate data show an increase in the formally employed citizens and their average earnings after the Olympic announcement. Statistical tests with and without controls also show an increase in the wages of the Olympic sectors after the host city announcement. The greater wage difference in favor of Rio versus the periphery, between 2015 and 2008, happened in the sector of public administration. On the other hand, the capital city had relative salary losses in relation to the suburbs in the sectors of real estate and construction. Finally, the updated results for 2016 do not represent significant changes to the conclusions aforementioned.
