At the end of the third quarter, the growth forecast for Latin America and the Caribbean was an estimated -0.6% for 2016. For the first time since 1982-83, the region is expected to post two consecutive years of negative growth. However, looking beyond the numbers there is some good news in this latest report. To begin with, things looked considerably worse earlier in the … [Read more...] about Latin America’s Macroeconomic Update: Looking Up
Macroeconomics and Finance
The Spinning Wheel of Economic Analysis
“The wheel is come full circle,” wrote William Shakespeare and so it seems has the progress of economic ideas in the view of Augusto de la Torre, the Chief Economist for Latin America and the Caribbean at the World Bank. Economics is largely about supply and demand and the intersection of the two. But De la Torre, in an eminent career including stints as the president of … [Read more...] about The Spinning Wheel of Economic Analysis
Democracy Does Not Cause Growth
Does democracy cause more economic prosperity and growth? This question dates back to Plato and Aristotle’s debate regarding which form of government brings more political and economic gain to society. However, after more than two millennia, there seems to be no clear consensus about whether democracy (in and of itself) delivers more economic growth than autocratic forms of … [Read more...] about Democracy Does Not Cause Growth
IDB Offers MOOC on Macroeconomic Growth and Stability
The Inter-American Development Bank is offering the second edition of its Massive Open Online Course (MOOC) on the principal problems and challenges of macroeconomic growth and stability in Latin America and the Caribbean. Two new modules in the course focus on the financial sector and productive development policies. Entitled Latin American Macroeconomic Reality, the free, … [Read more...] about IDB Offers MOOC on Macroeconomic Growth and Stability
Argentina’s Residential Real Estate: A Magnet for Savings that Trumps Bank Accounts
When it comes to their savings, households want to make sure they choose a type of investment that keeps their money safe and provides a reliable return. While in developed economies these requirements can be met by a simple bank account, in Latin America lack of trust in financial institutions discourages individuals from investing their savings in financial products. Some … [Read more...] about Argentina’s Residential Real Estate: A Magnet for Savings that Trumps Bank Accounts