Global financial markets are at a crossroads, subject to increased short-term uncertainty as well as structural shifts, both of which pose risks to the macroeconomic and development outlook of emerging economies. To start with, central banks around the world are aggressively tightening monetary policy to fight inflation. This has complex ramifications for exchange rate … [Read more...] about Implications of a New Global Financial Landscape for the Southern Cone
Gender Bias and the Electoral Incentives of Female Politicians
Researchers have documented that female leaders tend to make different policy decisions than male leaders, especially in developing countries. They have been shown, for instance, to be less prone to corruption than men and to invest more in certain public goods, like health and education. But less is known about why female leaders make different choices. One possible … [Read more...] about Gender Bias and the Electoral Incentives of Female Politicians
Persistent Fiscal Deficits May Lead to Disaster for Latin America and the Caribbean
Latin America and the Caribbean faces a punishing economic landscape. Fiscal deficits and debt levels have risen as a consequence of the COVID-19 pandemic and the Russian invasion of Ukraine, and with monetary policy tightening in the United States and Europe, the era of cheap and easy financing is over. In this ever more thorny environment, the region needs to urgently … [Read more...] about Persistent Fiscal Deficits May Lead to Disaster for Latin America and the Caribbean
Digitalizing Public Services to Improve Lives in Latin America and the Caribbean
Over the last decade, Latin America and the Caribbean has become increasingly digitalized, with the spread of internet use to roughly three-quarters of the population, a rapid proliferation of smartphones, and the emergence of numerous new digital companies worth over a billion dollars in areas such as commerce and finance. This digital revolution has had visible impacts on … [Read more...] about Digitalizing Public Services to Improve Lives in Latin America and the Caribbean
Behavioral Economics and the Energy Crisis in Europe
European nations, stunned by Russia's aggression, have mostly rallied in support of Ukraine, sending weapons and welcoming millions of refugees. But European citizens are paying dearly for it. Apart from the costs in direct assistance, the energy conflict with Russia had sent prices of gas soaring to eight times their 10-year average by the end of September and helped push … [Read more...] about Behavioral Economics and the Energy Crisis in Europe