Formal Jobs and the Cultural Right

The rise of culturally conservative politicians has been one of the most consequential political developments of recent decades. In large emerging democracies, this trend has coincided with significant reductions in poverty, partly driven by improvements in the allocation of labor. This paper hypothesizes that the reallocation of labor toward large firms—by fostering the growth of a conservative middle class—can help explain the rise of the cultural right. To test this hypothesis, the paper leverages geocoded administrative data and differential exposure to the rise of large firms as employers in Brazil. The findings show substantial increases in support for the cultural right, driven by low-income conservatives who experience upward mobility.