The recent revolts, escapes and killings in Latin American prisons seem all too familiar in a region with an incarceration rate twice that of the European Union and some of the highest homicide rates in the world. But an article in the New York Times describing the wholesale takeover of prison systems by criminal groups has brought broader attention to a regional crisis in … [Read more...] about Wielding Better Information and Policies to Curb the Prison Crisis in Latin America
Can Digital Payments Boost the Impact of Social Programs?
With tens of millions of citizens receiving cash transfers from social programs each month, Latin America and Caribbean governments have long sought ways to improve payment delivery and boost financial inclusion to improve savings, access to credit, and overall welfare. One attempted solution is encouraging recipients to open bank accounts to receive digital cash transfer … [Read more...] about Can Digital Payments Boost the Impact of Social Programs?
What are the Welfare Tradeoffs When Convenience Chains Replace Neighborhood Shops?
In the bustling markets of Mexico, a subtle yet significant revolution is underway. It isn’t a political or social upheaval. It's a transformation in the retail sector. Traditional neighborhood shops, once the heart of local communities, are now competing at a considerable disadvantage with giant convenience chains like 7-Eleven and Oxxo. This revolution, fueled by the entry … [Read more...] about What are the Welfare Tradeoffs When Convenience Chains Replace Neighborhood Shops?
Improving Road Safety with Behavioral Economics
We speed and drive aggressively out of overconfidence, and we disregard commonsense safety measures from too much optimism. We may even use a mobile phone while driving, preferring the short-term convenience of using the phone over greater long-term rewards like safety. We engage, in other words, in time discounting, the tendency to assign a lower value to future rewards than … [Read more...] about Improving Road Safety with Behavioral Economics
When It Comes to Taxes, Gender Matters
Do women and men behave differently when confronted with taxes? Various studies around the world show that women are more likely than men to pay their taxes, presumably because they are more risk-averse and have greater tax morale, the intrinsic motivation to pay taxes. If that is so, authorities might want to adjust their strategies to take into account gender when trying to … [Read more...] about When It Comes to Taxes, Gender Matters