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October 21, 2020

The Impact of COVID-19 Lockdowns and Expanded Social Assistance on Inequality, Poverty and Mobility in Argentina, Brazil, Colombia and Mexico

Based on the economic sector in which household members work, we use microsimulation to estimate the distributional consequences of COVID-19-induced lockdown policies in Argentina, Brazil, Colombia and Mexico. Our estimates of the poverty consequences are worse than many others’ projections because we do not assume that the income losses are proportionally equal across the income distribution.

The cover of the report
September 16, 2020

Sound Banks for Healthy Economies: Challenges for Policymakers in Latin America and the Caribbean in Times of Coronavirus

The purpose of this report is twofold: to identify and discuss a set of challenges, and to develop key recommendations. The overarching goal is to provide support to policymakers in the region who may face difficult decisions to ensure that banks play a constructive role and support families and firms through and beyond the current crisis. 

Close-up photo of hands holding Mexican pesos. Adobe Stock.
January 14, 2020

The Puzzle of Financial Inclusion in Mexico: A Closeable Gap?

Financial inclusion is a fundamental pillar of development. But Mexico poses a conundrum. In many respects it has been successful at growing its economy and integrating with global markets. Yet among its peers in Latin America, Mexico is the worst-performing at financial inclusion relative to its income; at 36.9%, its rate of inclusion only surpasses three other countries regionally—all with much lower per capita incomes.

The Political Economy of Testing in Latin America and Sub-Saharan Africa
September 12, 2019

The Political Economy of Testing in Latin America and Sub-Saharan Africa

Most countries in sub-Saharan Africa have not implemented testing of children’s learning that can be benchmarked regionally or globally, in contrast to almost all countries in Latin America. Our analysis of the political economy of cross-national learning measurement in Latin America suggests that policymakers perceive the risks of exposing their education system’s performance by joining cross-national assessments, but they also value the quality of the data generated, the strengthening of domestic technical capacity, and the political benefits in using comparative results to argue for reforms or to advertise progress.

Cover of Policy Paper 149
July 11, 2019

Fuel Subsidy Reform and Green Taxes: Can Digital Technologies Improve State Capacity and Effectiveness?

Reforming inefficient and inequitable energy subsidies continues to be an important priority for policymakers as does instituting “green taxes” to reduce carbon emissions. The paper outlines how the use of digital technology can help accomplishing those reforms, drawing on four country cases. The technology is only a mechanism; it does not, in itself, create the political drive and constituency to push reform forward.

CLAAF logo
December 14, 2018

Global and Local Challenges in Argentina and Brazil

The last presidential elections in Argentina (2015) and in Brazil (2018), represent a change from populism towards more orthodox economic policies in two important countries in the region. This shift is not only economic but also reflects other fundamental changes in the electorate, in particular the growing dissatisfaction of the population with issues such as weak security and growing corruption in political institutions.

Nicolas Maduro speaking at an event. Photo by Carlos Rodríguez/Andes.
August 6, 2018

The Venezuelan Migrant Crisis: Forging a Model for Regional Response

An economic, political, and humanitarian crisis has driven more than one million Venezuelans across the border into Colombia in the past year. Countries hosting Venezuelans have done so with relative welcome, keeping their borders open and offering some services and protection to migrants. But additional significant financial and other support will be required to meet the needs of both migrants and hosts.

Donald Trump speaking at 2017 CPAC conference. Photo by Gage Skidmore
July 10, 2018

Trump’s Protectionist Threat to Latin America

The economic impacts of Donald Trump’s trade dispute with China have so far been limited, but the countries of Latin America are nonetheless paying an early price. For a region where many economies are already constrained by weakened fiscal positions, the additional uncertainty caused by rising protectionism is especially unwelcome.

December 14, 2017

Towards the Argentine Presidency in the G20: What Macro-Financial Challenges Does the Region Face and What Are the Implications for the Debate?

After the slowdown of the Chinese economy and the sharp decrease in commodity prices, the Latin American macroeconomic outlook has worsened substantially in relation to the boom that occurred between 2003 and 2012, despite favorable external conditions characterized by significantly high liquidity in international capital markets and a strong economic recovery in developed nations.

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