nep-lam New Economics Papers
on Central and South America
Issue of 2013‒11‒22
ten papers chosen by
Maximo Rossi
University of the Republic

  1. Creating New Opportunities for Rural Producers. Impact Evaluation of a Pilot Program in Colombia By Sandra Rozo; Yuri Suarez Dillon Soares; Veronica Gonzalez Diez; Carlos Morales
  2. Políticas de protección social, vulnerabilidad económica y enfoque de derechos By Calero, Analía Verónica
  3. Democracy and Growth in Brazil - revised version By Lisboa, Marcos de Barros; Latif, Zeina Abdel
  4. Common factors and the exchange rate: results from the Brazilian case By Andrade, Eduardo; Moita, Rodrigo; Silva, Carlos
  5. Activos y contexto económico: Factores relacionados con la pobreza en el Perú By Valenzuela, Irina
  6. Industrial Clusters and Economic Performance in Brazil By Jose Claudio Pires; Tulio Cravo; Simon Lodato; Caio Piza
  7. Economic Performance and Industrial Clusters in Brazil By Jose Claudio Pires; Tulio Cravo; Simon Lodato; Caio Piza
  8. Condiciones de trabajo y calidad del empleo en la Provincia de Buenos Aires. Análisis de los determinantes de los puestos de trabajo con bajas remuneraciones en el período 2003 – 2011 By Calero, Analía V.; Sorokin, Isidoro
  9. The developmental contribution of the Offset Agreements: the case of Colombia By LARRÚ, JOSÉ MARÍA
  10. The Shadow Economy in Colombia: Size and Effect on Economic Growth By Friedrich Schneider

  1. By: Sandra Rozo (Deaprtment of Economics, University of California Los Angeles, Los Angeles, USA); Yuri Suarez Dillon Soares (Office of Evaluation and Oversight, Inter-American Development Bank, Washington, USA); Veronica Gonzalez Diez (Office of Evaluation and Oversight, Inter-American Development Bank, Washington, USA); Carlos Morales (Office of Evaluation and Oversight, Inter-American Development Bank, Washington, USA)
    Abstract: Industrial clusters are commonly targeted to receive financial support allocated to local-based development projects. Cluster promotion is seen as an effective industrial policy tool aimed at improving productivity and employment generation. Nevertheless, despite its popularity as a regional development policy, identifying and assessing the economic performance of clusters is still a challenge for policy makers. The objective of this paper is twofold: identify the location of clusters in Brazil; and provide some insights of its effect on employment generation. This paper uses three measures of identification to test whether the correlation between clusters and economic performance depends on the way clusters are identified. Noticeably, the existing literature on clusters’ identification in Brazil ignores possible spatial dependence. To address this gap in the literature, this paper draws on Carroll et al. (2008) and uses Location Quotient (LQ) and Local Indicator of Spatial Association (LISA) simultaneously to identify potential clusters in Brazil in 27 industrial sectors and using a comprehensive census data of the formal sector covering 5564 Brazilian municipalities. In addition, the paper uses an annual municipal panel data for the period 2006-2009 to assess whether the presence of clusters is correlated to superior economic performance, particularly employment generation. The results show that potential clusters are correlated with better economic performance, however, different types of agglomerations present different association with economic performance. Firstly, municipalities in specialized clusters (SR) perform poorly in terms of employment generation. Secondly, the results suggest that clusters of municipalities with neighbors with similar industrial structure (Periphery Regions and Potential Cluster Region) perform much better than those that only present industry specialization (SR) and are not close to similar municipalities.
    Keywords: Drug Production, Productivity, Latin America
    JEL: O13 O33 O54 Q18
    Date: 2013–09
    URL: http://d.repec.org/n?u=RePEc:idb:ovewps:0113&r=lam
  2. By: Calero, Analía Verónica
    Abstract: Since the restoration and strengthening of democracy in Latin America, the vision of social policy as a guarantee of human rights, has become more relevant. On this view Government as a guarantor of basic human rights, has the responsibility to intervene with universal public policies, heterogeneous and comprehensive to provide a minimum of welfare for all citizens. The aim of this paper is to analyze the change in public policies approach in Argentina and Government role through the analysis of the Universal Child Allowance for Social Protection (AUH, 2009) and its extension to the Pregnancy Allowance for Social Protection (AxE, 2011). This measure seeks to provide access to social protection in cases where the labor path is not necessarily formal, showing a shift in social protection policies. In Argentina, the AUH has as a short term goal to reduce the poverty, extreme poverty and inequity and to break the intergenerational transmission of poverty by encouraging the formation of human capital through health and education conditionalities and coordination with programs that contribute to the realization of rights, as the "Plan Nacer" and the "Conectar Igualdad”. Empirical evidence suggests that AUH has had positive impacts however, there is still a long way in reinforcing the vision of public policy that considers citizens as right subjects. On the other hand, it is also necessary to investigate the heterogeneity of the productive structure so as to articulate employment with social protection policies.
    Keywords: conditional cash transfers; Universal Children Allocation; public policies; human rights; poverty; inequity
    JEL: I18 I28 I38
    Date: 2013–05
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:51152&r=lam
  3. By: Lisboa, Marcos de Barros; Latif, Zeina Abdel
    Date: 2013–10
    URL: http://d.repec.org/n?u=RePEc:ibm:ibmecp:wpe_311&r=lam
  4. By: Andrade, Eduardo; Moita, Rodrigo; Silva, Carlos
    Date: 2013–10
    URL: http://d.repec.org/n?u=RePEc:ibm:ibmecp:wpe_317&r=lam
  5. By: Valenzuela, Irina (Banco Central de Reserva del Perú)
    Abstract: El objetivo del presente trabajo es identificar los factores que se relacionan con la probabilidad de ser pobre en el Perú, para ello se sigue el enfoque basado en activos, incorporando además variables relacionadas al contexto económico, como el nivel de desarrollo económico provincial y la presencia de actividad minera distrital. Un contexto económico relativamente favorable, reflejado en la residencia en una provincia con mayores ingresos per cápita, disminuye la probabilidad que un hogar caiga en la pobreza, ya sea en el ámbito urbano o rural. En tanto que residir en distritos con presencia minera disminuye la probabilidad de caer en pobreza, más no es relevante para determinar la probabilidad de caer en pobreza extrema. Residir en distritos mineros tiene impactos sólo en el espacio urbano. Se identifica a las regiones de Ancash, Arequipa y Madre de Dios como regiones donde dicho impacto es significativo.
    Keywords: pobreza, pobreza extrema, determinantes, enfoque basado en activos, Perú
    JEL: C25 I32 O18
    Date: 2013–11
    URL: http://d.repec.org/n?u=RePEc:rbp:wpaper:2013-013&r=lam
  6. By: Jose Claudio Pires; Tulio Cravo; Simon Lodato; Caio Piza
    Abstract: Industrial clusters, which are commonly targeted to receive financial support allocated to locally based development projects, are seen as an effective industrial policy tool for improving productivity and generating employment. Nevertheless, identifying clusters and assessing their economic performance is a challenge for policymakers. This paper aims to address this challenge by identifying the location of clusters based on neighbor relationships and specialization in Brazil and providing some insights on their effects on employment generation. The paper uses both Location Quotient and Local Indicator of Spatial Association to identify potential clusters in 27 industrial sectors in 5564 Brazilian municipalities. In addition, it uses annual municipal panel data for 2006-2009 to assess whether the presence of potential clusters is correlated with employment generation. The results show that clusters located in municipalities whose neighbors have similar industrial structures perform better than those that present industry specialization only.
    Keywords: Industrial cluster, regional economic development, spatial independence
    JEL: C0 R11 R12
    Date: 2013–10
    URL: http://d.repec.org/n?u=RePEc:idb:ovewps:0513&r=lam
  7. By: Jose Claudio Pires (Office of Evaluation and Oversight, Inter-American Development Bank, Washington, USA); Tulio Cravo (Office of Evaluation and Oversight, Inter-American Development Bank, Washington, USA); Simon Lodato (Office of Evaluation and Oversight, Inter-American Development Bank, Washington, USA); Caio Piza (Development Impact Evaluation Unit, The World Bank)
    Abstract: Industrial clusters are commonly targeted to receive financial support allocated to local-based development projects. Cluster promotion is seen as an effective industrial policy tool aimed at improving productivity and employment generation. Nevertheless, despite its popularity as a regional development policy, identifying and assessing the economic performance of clusters is still a challenge for policy makers. The objective of this paper is twofold: identify the location of clusters in Brazil; and provide some insights of its effect on employment generation. This paper uses three measures of identification to test whether the correlation between clusters and economic performance depends on the way clusters are identified. Noticeably, the existing literature on clusters’ identification in Brazil ignores possible spatial dependence. To address this gap in the literature, this paper draws on Carroll et al. (2008) and uses Location Quotient (LQ) and Local Indicator of Spatial Association (LISA) simultaneously to identify potential clusters in Brazil in 27 industrial sectors and using a comprehensive census data of the formal sector covering 5564 Brazilian municipalities. In addition, the paper uses an annual municipal panel data for the period 2006-2009 to assess whether the presence of clusters is correlated to superior economic performance, particularly employment generation. The results show that potential clusters are correlated with better economic performance, however, different types of agglomerations present different association with economic performance. Firstly, municipalities in specialized clusters (SR) perform poorly in terms of employment generation. Secondly, the results suggest that clusters of municipalities with neighbors with similar industrial structure (Periphery Regions and Potential Cluster Region) perform much better than those that only present industry specialization (SR) and are not close to similar municipalities.
    Keywords: Industrial cluster, regional economic development, spatial dependence
    JEL: C0 R11 R12
    Date: 2013–09
    URL: http://d.repec.org/n?u=RePEc:idb:ovewps:0213&r=lam
  8. By: Calero, Analía V.; Sorokin, Isidoro
    Abstract: After the 2001 crisis , Argentina has traveled a path of high economic growth linked to a fast restructuring of the labor market and the throwback of the worsening socio-economic and distributive which initiated in the mid- 70 's, and that deepened during the decade of the 90 's. Yet it persist a number of limitations related to job insecurity among which it they are low-paid workers, and particularly of those whose incomes are insufficient to escape from poverty (working poor), which ranges between 3% and 9% for 2011 depending if it is estimated by a lax poverty line or by a restrictive one. This study analyzes the evolution of this problem in the context of the restructuring of the economy, where it is identify the permanence of some vulnerable groups for which the fact of acceding to an employment still has not been matched with a significant improvement in the living conditions of their respective homes.
    Keywords: woorking poor; segmented labor markets; structural heterogeneity; labor informality; public policies
    JEL: J3 J4 O17
    Date: 2013–09
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:51153&r=lam
  9. By: LARRÚ, JOSÉ MARÍA
    Abstract: Colombia is a middle-income country but with a human development constantly threatened by insecurity. This paper analyzes the developmental impact of Offset Agreements (linked to international defence-industry cooperation) implemented by EADS-CASA in Colombia. Compare Malaysia, the Colombian case exemplifies how offset might be an instrument of development through increasing security in recipient countries. In an international context that seeks explicitly how to include the private sector as a developmental agent, and that it is looking for the best practices among public-private partnerships, these agreements can be a good example. The offset agreements executed in Colombia are assessed with high marks in relevance, ownership and alignment, and potential direct and indirect value added, externalities and sustainability. Transparency is the weakest point of the offset. A move towards an international initiative that helps minimize unwanted effects such as unfair competition or corruption is proposed.
    Keywords: Colombia; development; Offset Agreements; public-private-partnerships; technology transmission.
    JEL: F13 H56 O32
    Date: 2013–06
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:51456&r=lam
  10. By: Friedrich Schneider
    Abstract: Using the currency demand approach, size and development of Colombia’s shadow economy are estimated over the period from 1980 to 2012. The results show a great extent of shadow economic activity varying over time between 27 and 56 % of GDP. The most important factors driving the shadow economy are indirect taxation and unemployment. Analyzing the interaction between shadow and official economy, the shadow economy has a negative effect on the official one. Average growth of real per capita GDP is 1.86% between 1980 and 2012, without shadow economy it would have been higher around 0.12 percentage points on average.
    Keywords: Colombian shadow economy, currency demand method, taxation, unemployment, interaction between the shadow and official economy
    JEL: O17 O5 D78 H2 H11 H26
    Date: 2013–10
    URL: http://d.repec.org/n?u=RePEc:jku:econwp:2013_19&r=lam

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