Boosting skills is essential for entering the ranks of the richest nations. Better education and skills, most economists agree, generate the innovation and productivity that lift countries from middle-income to high-income levels such as those enjoyed by the United States and the wealthiest nations in Europe and Asia. Indeed, along with rule of law and well-functioning markets, … [Read more...] about What Do Voters Want: Help or Skills?
Macroeconomics and Finance
Mexico: The Elusive Quest for Prosperity
Imagine a country that does everything that development economics says is right: guarantee macroeconomic stability, maintain an open trade regime and invest in physical capital and education. Now imagine, that this this country suffers anemic growth and has done so for over two decades. What in the world could be wrong? This is the agonizing question facing Mexico and the … [Read more...] about Mexico: The Elusive Quest for Prosperity
When Central Bank Autonomy Makes All the Difference
Since the late 1990s, a broad reform movement has swept Latin America, aimed at granting independence to central banks and freeing them from government pressure to print money to finance government spending. Laws have been passed and constitutions changed to allow independent central banks to focus on the fight against inflation. A more complicated case has been Brazil, where … [Read more...] about When Central Bank Autonomy Makes All the Difference
Sports Programs Can Boost Solidarity and Strengthen Societies
Go into any bar or restaurant in Latin America during the World Cup and you'll witness ecstatic fist pumps, shouts and hugs after a goal by the national team. Sports makes for tribal celebration, and the shared experience that occurs when the tribe excels and triumphs can bond even strangers and serve as a powerful social glue. But it's not just true for watching sports. It … [Read more...] about Sports Programs Can Boost Solidarity and Strengthen Societies
Do Term Limits Benefit Voters?
When allies of President Horacio Cartes tried to force an amendment through Paraguay's congress last year to allow him to run for a second term, rioters took to the streets and set fire to Congress, illustrating in particularly dramatic fashion the sharp divisions around term limits. Cartes eventually decided not to run again, but he may have been the exception. In recent … [Read more...] about Do Term Limits Benefit Voters?