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Begin New Search Political Geography Latin America Publication Year within 5 Years

321. Special Commentary: COVID-19: Shaping a Sicker, Poorer, More Violent, and Unstable Western Hemisphere

Author:
Dr. Evan Ellis
Publication Date:
05-2020
Content Type:
Commentary and Analysis
Institution:
The Strategic Studies Institute of the U.S. Army War College
Abstract:
The COVID-19 pandemic will have profound and enduring negative effects on Latin America and the Caribbean, significantly impacting the security, interests, and strategic position of the United States. Department of Defense and other US senior leaders should begin planning now to mitigate or manage the consequences. The effects of COVID-19 on Latin America and the Caribbean, as in many other parts of the developing world, will be far more significant than is commonly anticipated for two reasons. First, the virus will likely play out across the region over an extended length of time owing to a variety of factors discussed later. Second, the pandemic’s mutually reinforcing health, economic, social, and political effects will combine to wreak far more havoc than anticipated in analyses that only consider disease propagation or effects on commerce. Together, these two dynamics of COVID-19 will leave a Latin America that is far sicker, poorer, beset by crime, violence, social unrest, and political instability than today. It will also leave a region with expanded People’s Republic of China (PRC) commercial presence and political influence, even while being more resentful of it.
Topic:
Defense Policy, Health, Pandemic, and COVID-19
Political Geography:
Latin America and Caribbean

322. Global giants and local stars: How changes in brand ownership affect competition

Author:
Vanessa Alviarez, Keith Head, and Thierry Mayer
Publication Date:
11-2020
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
We assess the consequences for consumers in 76 countries of multinational acquisitions in beer and spirits. Outcomes depend on how changes in ownership affect markups versus efficiency. We find that owner fixed effects contribute very little to the performance of brands. On average, foreign ownership tends to raise costs and lower appeal. Using the estimated model, we simulate the consequences of counterfactual national merger regulation. The US beer price index would have been 4-7% higher without divestitures. Up to 30% savings could have been obtained in Latin America by emulating the pro-competition policies of the US and EU.
Topic:
Economics, International Political Economy, and Multinational Corporations
Political Geography:
United States, United Kingdom, Latin America, and Global Focus

323. Currency Misalignments and Exchange Rate Regimes in Latin American countries: A Trade-Off issue

Author:
Jorge Carrera, Blaise Gnimassoun, Valérie Mignon, and Romain Restout
Publication Date:
04-2020
Content Type:
Working Paper
Institution:
Centre d'Etudes Prospectives et d'Informations Internationales (CEPII)
Abstract:
This paper conducts an in-depth empirical investigation on the impact of the exchange rate regime (ERR) on real currency misalignments in a panel of 17 Latin American countries over the 1970-2016 period. We consider explicitly the two dimensions of misalignments, size and persistence, and evaluate four different ERR classifications. We also pay attention to cross-sectional dependencies across countries that appear to be important in Latin America, and provide several robustness checks. Our main findings show that, although fixed ERR perform well in limiting the size of misalignments – and in reducing inflation and fiscal deficit – the disequilibria are more persistent. On the contrary, allowing for more flexibility reduces persistence but increases the size of misalignments. Overall, we show that Latin American countries face a crucial trade-off when they have to choose their ERR.
Topic:
Economics, International Political Economy, Exchange Rate Policy, and Currency
Political Geography:
Latin America

324. COVID-19 and the battle against poverty in the Southern Cone

Author:
International Institute for Strategic Studies
Publication Date:
11-2020
Content Type:
Working Paper
Institution:
International Institute for Strategic Studies
Abstract:
In the third in a series analysing the ways COVID-19 is affecting stability across the world, this paper explores how governments in the Southern Cone of Latin America have responded to the devastating impact of the pandemic on poverty and social indicators in the region. The COVID-19 pandemic has taken a huge human, economic and social toll in Latin America − and the Southern Cone in particular − against a backdrop of high levels of informality and urbanisation, underdeveloped social-security nets, and fragmented and underfunded healthcare systems. Despite fiscal constraints, most countries in the Southern Cone have been quick to adopt fiscal-stimulus packages to mitigate the impact of the economic downturn on the most vulnerable. Countries with pre-existing, effective social-safety nets have proven more successful at fighting pandemic-induced poverty. Looking beyond the immediate measures, the pandemic has highlighted the need to address poverty in a durable way in the region. This can be achieved in part by establishing more sustainable development models that emphasise inclusivity.
Topic:
Poverty, Social Services, Public Health, Pandemic, and COVID-19
Political Geography:
South America, Latin America, and North America

325. Russia: an increasingly repressive autocracy seeking a place on the UN Human Rights Council

Author:
Lara María Kovandova
Publication Date:
07-2020
Content Type:
Special Report
Institution:
Center for the Opening and Development of Latin America (CADAL)
Abstract:
The Bertelsmann Transformation Index (BTI) 2020 cautiously points to Vladimir Putin’s forging of an authoritarian-bureaucratic nomenklatura. Human Rights Watch and Amnesty International have denounced the deteriorating human rights situation in Russia, with freedom of speech and assembly systematically undermined and violated. The recent plebiscite to reform the constitution is the epitome of Mr Putin masquerading the authoritarian regime as a democracy.
Topic:
United Nations, Authoritarianism, Democracy, Vladimir Putin, Human Rights Violations, Amnesty International, and Human Rights Watch
Political Geography:
Russia, Latin America, and Global Focus

326. BTI and Cuba: the State of democratic denial

Author:
Manuel Cuesta Morúa
Publication Date:
06-2020
Content Type:
Special Report
Institution:
Center for the Opening and Development of Latin America (CADAL)
Abstract:
Compared with other reports on Cuba, the Bertelsmann Transformation Index (BTI) has several noticeable advantages. The first is that it is a comprehensive report, embedded in three pillars: economics, politics and governance. The second is that it captures trends, whereas more reports are static. The third is that it considers themes through indicators, which most reports ignore. And as it is issued every two years it makes it possible to know the consistency (or lack, thereof) of the transformation and its rhythm. The following up. Has Cuba been transformed in 14 years (2006-2020)? Reading the report, it can be concluded that it has, whilst a new concept is introduced: that of static transformation –a sample of changes that leave the structures of a society intact.
Topic:
Human Rights, Governance, Authoritarianism, Democracy, Society, and Human Rights Violations
Political Geography:
Cuba, Latin America, and Global Focus

327. Wage effects of employer-mediated transfers

Author:
Santiago Garriga and Dario Tortarolo
Publication Date:
08-2020
Content Type:
Working Paper
Institution:
Nottingham Interdisciplinary Centre for Economic and Political Research (NICEP)
Abstract:
We explore how the way in which tax credits are disbursed affects employer’s behavior, wages, and employment. We exploit a change in the payment system in Argentina that was gradually rolled out between 2003 and 2010. Under the old system, employers were in charge of delivering family allowances to their employees together with the monthly salary, and the transfer was deducted from employer social security contributions. For transparency purposes, the government eliminated the intermediary role of firms and started depositing the transfer directly into workers’ bank accounts. Using employer-employee administrative data and an event-study approach, we show that the way tax credits are disbursed matters for the final economic incidence. Our evidence suggests that employers shift part of the incidence of the transfer by paying lower wages. We document larger wage effects in small and less unionized firms and we do not find evidence of pay equity concerns (e.g., effect mostly driven by new hires rather than incumbent workers). Our findings are therefore in line with the hypothesis that transfers are not all captured dollar for dollar by workers. These results raise questions about the use of employers as intermediaries to disburse the transfer; where less salient schemes may lead to capture by employers.
Topic:
Economics, Labor Issues, Employment, Work Culture, and Economic Inequality
Political Geography:
Argentina and Latin America

328. It takes two to tango: Labour responses to an income tax holiday in Argentina

Author:
Dario Tortarolo, Guillermo Cruces, and Victoria Castillo
Publication Date:
07-2020
Content Type:
Working Paper
Institution:
Nottingham Interdisciplinary Centre for Economic and Political Research (NICEP)
Abstract:
We exploit a large, quasi-randomized, 2.5-year-long income tax holiday to identify intertemporal labor responses of high-wage earners to net wage changes. In August 2013, the Argentine government exempted a group of wage earners from the income tax for 2.5 years while leaving in place the tax on other high-wage earners. Eligibility was based on whether past wage earnings were below a fixed threshold, thus levying sharply different marginal and average tax rates—effectively 0% for workers below the threshold. Using rich population-wide administrative data and a regression discontinuity design, we estimate a precise and very small wage earnings elasticity of 0.017 for this large, salient, and temporary income tax change. Responses are larger for more flexible outcomes (overtime hours) and for more elastic groups (job switchers and managers). We also find avoidance responses from new entrants who faced no tax if their first monthly wage was below the fixed threshold. This strategic entry below the threshold to dodge taxes required coordination with employers. Our findings indicate rigidities in the labor market that require employer-employee cooperation to be overcome for wage earners to be able to respond to tax changes.
Topic:
Economics, Labor Issues, Income Inequality, and Tax Systems
Political Geography:
Argentina and Latin America

329. Is the Future of Central America’s Growth Sustainable?

Author:
Sergio Martinez and Mauricio Garita
Publication Date:
12-2020
Content Type:
Special Report
Institution:
Georgetown Journal of International Affairs
Abstract:
Central America is a region in the Americas with potential for higher economic growth. For the regional economy to grow in a sustainable manner in the years ahead, policymakers must act on three fronts: economic diversification, workforce upskilling, and intra-regional cooperation.
Topic:
Development, Economics, Poverty, Income Inequality, Economic Growth, and Multilateralism
Political Geography:
Latin America and Central America

330. High Expectations: Chile’s Path Toward a New Constitution

Author:
Miguel Ángel Martínez-Meucci
Publication Date:
11-2020
Content Type:
Special Report
Institution:
Georgetown Journal of International Affairs
Abstract:
In Chile, the ongoing constituent process presents a great opportunity, but it also embodies great challenges. Chile’s future will depend on the capacity of the constituent body to reach broad consensus and produce a balanced text that is capable of innovating while preserving the best of what already exists.
Topic:
Civil Society, Governance, Law, and Constitution
Political Geography:
South America, Latin America, and Chile