A recent IDB report found that while trade liberalization resulted in increased firm and labor productivity in Latin America and the Caribbean over the last 30 years, boosting economic growth, it did not create as many new jobs or reduce inequality as expected. Liberalization in the 1980s and 1990s resulted in moderate negative impacts on labor markets. For example, a 2004 … [Read more...] about How Trade and Training Can Boost Employment in Latin America
Regional Integration
Outlook for Latin American exports in 2020
A recent Inter-American Development Bank report, Trade Trends Estimates: Latin America and the Caribbean 2020, reveals that the value of exports from the region contracted by 2.4% in 2019 after two years of robust growth. The report forecasts that the downturn in exports will continue in the coming months due to slowing global demand, volatility of commodity markets, and … [Read more...] about Outlook for Latin American exports in 2020
After 30 years of trade liberalization, now what?
Over 30 years ago, the countries of Latin America and the Caribbean embarked on a large-scale experiment to reintegrate into the global economy. After years of stagnation, international trade became the best bet for growth, creating jobs and closing the inequality gap. But in the heat of the political debate, many of the expectations went beyond what the evidence and solid … [Read more...] about After 30 years of trade liberalization, now what?
Trade Liberalization and Diversification, key for Central America
During the 1960s, the countries of Latin America and the Caribbean opted for an economic development strategy based on trade protection. At its core, import substitution sought to protect local industries from foreign competition. Although the region’s economies grew significantly, this growth laid the foundations for the 1980 debt crisis, which was compounded by a series of … [Read more...] about Trade Liberalization and Diversification, key for Central America
Latin Americans: On Board with Trade
How do Latin Americans feel about international trade? Are they in favor of it? If so, to what extent? We asked these questions ourselves at the Inter-American Development Bank, as part of a study on how trade liberalization has impacted Latin America and the Caribbean (LAC) in recent decades. To answer these questions, the IDB added a module on foreign trade to the 2018 … [Read more...] about Latin Americans: On Board with Trade