Despite decades of democratic governance and policy reforms, economic inequality in Latin America remains a stubborn reality. Concentrated income and wealth among the richest 10% of the population has left the poorest 10% with less than 2% of total income. The disparities have endured for the last 30 years, even in relatively stable democracies like Chile, Colombia, and … [Read more...] about The Governance Dimension of Persistent Inequality in Latin America
The Imperatives of Fiscal Health
By 2020, at the nadir of the COVID-19 pandemic, Latin American and Caribbean governments had spent so much on health and transfers to keep people and firms afloat that the average primary balance (the budget balance without interest payments on debt) had soared to -4.8% of GDP. Then a positive thing happened. Rather than lingering in deficit, as it had after the 2009 response … [Read more...] about The Imperatives of Fiscal Health
Where Productivity and Prosperity Meet
Between 1960 and 2019, Latin America and the Caribbean grew faster than advanced economies in terms of labor, years of schooling, and physical capital. Yet, the difference in average annual growth between the two groups of countries was striking, with the advanced economies growing 2.6% versus around 1.8% for Latin America and the Caribbean. The biggest difference between … [Read more...] about Where Productivity and Prosperity Meet
Pension Problems and the Need for Reform in the Wake of COVID-19
As COVID-19 struck, governments across Latin America and the Caribbean imposed lockdowns and other restrictions that led to widespread job losses. There was record unemployment in the hospitality, tourism, and retail sectors. Youth, women, and low-income workers suffered especially, and jobs in the informal sector took a hard hit. The increase in remote work that emerged during … [Read more...] about Pension Problems and the Need for Reform in the Wake of COVID-19
AI Reinvents IDB Flagship Reports: Ushering in a New Era of Interactive Economic Research and Policymaking
Imagine engaging in a conversation with a comprehensive macroeconomic report, asking questions, exploring scenarios, and receiving real-time insights tailored to your queries. The Inter-American Development Bank has made this vision a reality by seamlessly integrating an AI system within its flagship reports. The 2024 Latin American and Caribbean Macroeconomic Report, Ready for … [Read more...] about AI Reinvents IDB Flagship Reports: Ushering in a New Era of Interactive Economic Research and Policymaking