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2. What makes a legislator promote or thwart trade liberalization in developing democracies?
- Author:
- Simón Lodato, Andrés Dockendorff Dockendorff, and Dorotea López
- Publication Date:
- 04-2025
- Content Type:
- Journal Article
- Journal:
- Revista Brasileira de Política Internacional (RBPI)
- Institution:
- Instituto Brasileiro de Relações Internacionais (IBRI)
- Abstract:
- This paper investigates how ideological polarization and constituency factors influence legislators’ voting behaviour on Free Trade Agreements (FTAs). We explore the Chilean case, where trade policy has recently become highly politicized, to test three key relationships. First, we argue that right-wing legislators are more likely to champion FTAs when trade becomes a highly politicized issue, as the ratification of the CPTPP shows. Conversely, when trade is less politically salient, right-wing legislators are less likely to vote favourably for FTAs. Second, legislators representing regions with a high concentration of workers in tradable sectors are less likely to support trade liberalization, as it can put jobs at risk in their districts. Our results show that ideology explains legislators’ support to FTAs but only when the trade policy is politicized. Also, the probability of voting in favour of FTAs decreases as the proportion of workers in tradable sectors within the region increases. From a comparative perspective, the results highlight how the effect of politicization, observed mainly in European settings, is generalizable to a different set up: a presidential developing democracy.
- Topic:
- Ideology, Trade Liberalization, Trade Policy, Politicization, Legislators, and Free Trade Agreements
- Political Geography:
- South America and Chile
3. Local Economic Development Through Export-Led Growth: The Chilean Case
- Author:
- Andrés César and Guillermo Falcone
- Publication Date:
- 04-2024
- Content Type:
- Working Paper
- Institution:
- Center for Distributive, Labor and Social Studies (CEDLAS)
- Abstract:
- We study the causal impact of export growth on Chilean local economic development during 2000–2006 by exploiting spatial and temporal variations in local exposure stemming from the interaction of past differences in industry specialization across local labor markets and the evolution of tariffs cuts and exports across industries. We find that growing exports implied a significant reduction in labor informality and labor income gains in more exposed local markets, driven by job creation and wage growth in the formal sector. These effects concentrate on senior skilled workers. Exposed locations also exhibit a greater relative decline in the poverty rate.
- Topic:
- Poverty, Employment, Economic Growth, Tariffs, Exports, Economic Development, Labor Market, Wages, and Informality
- Political Geography:
- South America and Chile
4. Beyond Traditional Wage Premium. An Analysis of Wage Greenium in Latin America
- Author:
- Manuela Cerimelo, Pablo de la Vega, Natalia Porto, and Franco Vazquez
- Publication Date:
- 02-2024
- Content Type:
- Working Paper
- Institution:
- Center for Distributive, Labor and Social Studies (CEDLAS)
- Abstract:
- This paper estimates wage differentials between green and non-green jobs (wage greenium) in nine major Latin American countries (Argentina, Bolivia, Brazil, Chile, Colombia, Ecuador, Mexico, Peru and Uruguay), which account for 81% of the region’s GDP. We contribute to the recent literature highlighting a positive wage gap for those working in green jobs in developed countries. A positive wage gap for green jobs may be a virtuous market feature, as it means that in the future workers might be encouraged to switch to greener occupations. To do so, we define green jobs as those occupations with high greenness scores using the occupational approach as in Vona et al. (2018), Vona (2021) and de la Vega et al. (2024). Our results suggest that the wage greenium for the period 2012-2019 in Latin America was between 18% to 22%. Moreover, this wage gap has remained relatively stable over the years.
- Topic:
- Labor Market, Wages, and Green Jobs
- Political Geography:
- Brazil, Argentina, Colombia, Uruguay, Latin America, Mexico, Chile, Peru, Ecuador, and Bolivia
5. Balancing Natural Resources and Human and Social Capital: Pathways to Economic Diversification in Mongolia
- Author:
- Thorvaldur Gylfason and Jean-Pascal N. Nganou
- Publication Date:
- 09-2023
- Content Type:
- Special Report
- Institution:
- The Vienna Institute for International Economic Studies (WIIW)
- Abstract:
- Economic diversification has gained significant attention as a crucial factor for sustainable development worldwide. This paper addresses the risks associated with extreme specialisation and explores the potential benefits of economic diversification for Mongolia. By comparing Mongolia with its designated aspirational and structural peers, the paper aims to shed light on strategies that can foster economic and societal diversification in the country. Although Mongolia possesses favourable levels of human capital compared with its peers, its unusually high ratio of natural capital to human capital highlights the necessity of reducing reliance on natural resources and promoting human capital-intensive economic activities. The paper examines the implications of declining demand for Mongolia's key minerals, primarily coal, resulting from climate change concerns and evolving investor preferences towards sustainability, China's coal consumption reduction goals, and the enduring impact of the COVID-19 pandemic. Through this analysis, the paper offers insights into pathways for Mongolia to diversify its economy and enhance the well-being of its people by striking a balance between natural resources and human and social capital.
- Topic:
- Natural Resources, Governance, Democracy, Economic Growth, Human Capital, Diversification, Macroeconomics, Social Capital, Transition, and ASEAN
- Political Geography:
- Russia, China, Malaysia, Canada, Mongolia, Kazakhstan, Colombia, Armenia, Australia, Qatar, Chile, Peru, United Arab Emirates, Ecuador, and Guyana
6. Far Right Holds Chile Hostage
- Author:
- Carole Concha Bell
- Publication Date:
- 05-2023
- Content Type:
- Commentary and Analysis
- Institution:
- The North American Congress on Latin America (NACLA)
- Abstract:
- The ultra-conservative Republican Party won a majority on Chile’s new Constitutional Council, delivering a major blow to President Gabriel Boric’s transformative platform.
- Topic:
- Elections, Constitution, Far Right, and Political Parties
- Political Geography:
- South America, Latin America, and Chile
7. Anarchists vs. the State
- Author:
- Kirwin Shaffer
- Publication Date:
- 04-2023
- Content Type:
- Commentary and Analysis
- Institution:
- The North American Congress on Latin America (NACLA)
- Abstract:
- As Latin America swings left, activists keep alive a long anarchist tradition of critiquing the limits of state power. For them, the real alternatives are in communities, workplaces, and the streets.
- Topic:
- State, Anarchism, and Activism
- Political Geography:
- Brazil, Colombia, Latin America, Mexico, and Chile
8. Navigating Apathy and Attacks in the Struggle for Migrant Rights in Chile
- Author:
- Pablo Seward Delaporte
- Publication Date:
- 01-2023
- Content Type:
- Commentary and Analysis
- Institution:
- The North American Congress on Latin America (NACLA)
- Abstract:
- For one activist, Chile’s proposed constitution missed a historic opportunity to defend migrant rights amid a right-wing backlash that ultimately defeated the new progressive charter.
- Topic:
- Human Rights, Constitution, Domestic Politics, Right-Wing Politics, and Migrants
- Political Geography:
- South America, Latin America, and Chile
9. Chile’s New Constitutional Process Shifts to the Right
- Author:
- Cathy Schneider and Sofía Williamson-García
- Publication Date:
- 02-2023
- Content Type:
- Commentary and Analysis
- Institution:
- The North American Congress on Latin America (NACLA)
- Abstract:
- Hollowed-out political parties and the legacy of dictatorship once again leave Chile’s constitutional process hindered by a crisis of representation.
- Topic:
- Constitution, Domestic Politics, Representation, and Dictatorship
- Political Geography:
- South America and Chile
10. Inequality in Chile: Perceptions and Patterns
- Author:
- Ignacia Lecaros, Daniela Paz Cruzat, Ricardo Pommer Muñoz, Pablo Tillan, and Michael Walton
- Publication Date:
- 09-2023
- Content Type:
- Working Paper
- Institution:
- The John F. Kennedy School of Government at Harvard University
- Abstract:
- Chile has pioneered many things: a market-oriented, “neoliberal” approach to development; an impressive transition from authoritarianism to democracy; innovations in social policy; and an extraordinary series of street protests between 2006 and 2019. While often lauded as a model of economic and social development, the protests reflect acute concerns over perceived failures in the Chilean political, economic and cultural system, concerns that were profoundly inflected with issues of inequality and lack of fairness. To inform this contrast, this paper undertakes a systematic assessment of the perceptions and perspectives of Chilean citizens, both in the context of the protests and in their broader expressed views in surveys. The core theme is that “the street was right”, in the specific sense that the protests reflected much wider sentiments across social classes over perceived inequities in economic advancement, social provisioning, and the undignified “treatment” by state actors and elites. The paper then compares these perceptions with some of the “objective” measures of inequality. While alternative measures indicate modest declines in some measures of inequality, Chile remains a very high inequality society, in relation to income, wealth, and education. These perceptions and patterns are central to Chile’s current development challenges, in ways that resonate with the position of many countries in today’s polarized environment. This is the first of two papers, with the sequel exploring the underlying drivers of inequality and implications for policy direction.
- Topic:
- Education, Health, Inequality, Protests, State, Perception, and Fairness
- Political Geography:
- South America and Chile