Lawmakers who daydream about enforcing international labor standards in Latin America clearly don’t know that massive chunks of those economies are “informal,“ meaning that people survive by evading government rules. One way to help Latin Americans transit from the informal to the formal economy is to create incentives for legalization through free trade. Numerous Peruvian companies have become formal in recent years because export opportunities to the U.S. have made it profitable for them to legalize their activities. Opening trade is one way to ensure that the enforcement of rules one day becomes a reality. Making universal enforcement of ethereal laws a precondition for free trade in Latin America amounts to putting the cart before the horse.