nep-lam New Economics Papers
on Central and South America
Issue of 2015‒03‒05
six papers chosen by

  1. Latin American Export Structure and the US Growth Spillover Effect in the Great Recession By Gonzalo Hernández Jiménez
  2. Benchmarking the Determinants of Economic Growth in Latin America and the Caribbean By Jorge Thompson Araujo; Markus Brueckner; Mateo Clavijo; Ekaterina Vostroknutova; Konstantin M. Wacker
  3. Strategies and counter-strategies: China in the Andean region of South America By Ádam Chimienti; Benjamin Creutzfeldt
  4. Reciprocal beliefs and out-group cooperation: evidence from a public good game By Brañas-Garza, Pablo; Coulson, Mark; Kernohan, David; Oyediran, Olusegun; Rivas, M. Fernanda
  5. An Empirical Analysis of Primary and Secondary Pharmaceutical Patents in Chile By María José Abud Sittler; Bronwyn Hall; Christian Helmers
  6. The relationship between multidimensional poverty and armed conflict: the case of Antioquia, Colombia By Loaiza, Osmar; Muñetón, Guberney; Vanegas, Gabriel

  1. By: Gonzalo Hernández Jiménez
    Abstract: Using panel data analysis, and focusing on export-structure related aspects of the Latin American economies, this paper finds that output fluctuations in Latin America are synchronized with the United States’ business cycle in the period 1961-2012. Moreover, non-primary commodity exporters and Latin American countries whose exports have mainly been destined for the US market display an intensified output fluctuation co-movement with the US. These findings have crucial implications to address the uneven performance of Latin American economies in the Great Recession as a consequence of the real GDP contraction in the United States in 2009.
    Keywords: export-structure, business cycles, Great Recession, Latin America
    JEL: F44 O54
    Date: 2015–02–24
  2. By: Jorge Thompson Araujo; Markus Brueckner; Mateo Clavijo; Ekaterina Vostroknutova; Konstantin M. Wacker
    Keywords: Poverty Reduction - Achieving Shared Growth Governance - Governance Indicators Economic Theory and Research Macroeconomics and Economic Growth - Economic Conditions and Volatility Macroeconomics and Economic Growth - Economic Growth
    Date: 2014–12
  3. By: Ádam Chimienti; Benjamin Creutzfeldt
    Abstract: By employing a comparative method that analyzes China’s increasing presence in different Latin America countries, this study explores key features and implications of Beijing’s approach towards this region. Colombia, Ecuador and Peru are used as case studies to evaluate China’s diplomatic rhetoric and the degree to which trade and investment realities live up to the goals proclaimed. Each of the countries examined seeks a more balanced relationship with external actors and recognizes China’s increased presence in the domestic political economy. Beijing seeks to distinguish itself as a soft power and “South-South” partner, and yet its ability to maintain this stance is complicated by the inevitable asymmetry that a rising China implies. The paper argues that China’s economic involvement in terms of trade, aid, loans and investment is indisputably important, but just one opportunity amongst many for these countries to achieve the political and economic goals that they have set for themselves.
    Keywords: China relations with South America; neoliberal economics; win-win; South-South cooperation; Washington Consensus; FDI.
    JEL: F23 O12 O54 Q33 Q56
    Date: 2014
  4. By: Brañas-Garza, Pablo; Coulson, Mark; Kernohan, David; Oyediran, Olusegun; Rivas, M. Fernanda
    Abstract: This study examined latent racial prejudice towards specified out-groups among 152 Spanish college students in a two-stage research strategy using a public goods game. When asked how generous various out-groups are, Asian, and Western groups were perceived as more generous than the in-group, whereas African and Latin American groups were perceived as less generous. When participants were incentivized, with payoff contingent on the accuracy of guesses, and accuracy quantified as performance of the relevant groups in a similar task to the one employed here, participants evidenced prejudice against African and Latin American groups, and towards Asian and Western groups. Models of racial beliefs were fitted for the four groups, however we do not find satisfactory explanations for why questionnaire response and lab behaviour did not match. Implications of the use of behavioural economic games in prejudice research are discussed.
    Keywords: Beliefs; Prejudice; Public Goods Game
    JEL: C91 H41 J15
    Date: 2014–05–13
  5. By: María José Abud Sittler; Bronwyn Hall; Christian Helmers
    Abstract: We analyze the patent filing strategies of foreign pharmaceutical companies in Chile distinguishing between “primary” (active ingredient) and “secondary” patents (patents on modified compounds, formulations, dosages, particular medical uses etc.). There is prior evidence that secondary patents are used by pharmaceutical originator companies in the U.S. and Europe to extend patent protection on drugs in length and breadth. Using a novel dataset that comprises all drugs registered in Chile between 1991 and 2010 as well as the corresponding patents and trademarks, we find evidence that foreign originator companies pursue similar strategies in Chile. We find a primary to secondary patents ratio of 1:4 at the drug-level which is comparable to the available evidence for Europe; most secondary patents are filed over several years following the original primary patent and after the protected active ingredient has obtained market approval in Chile. This points toward effective patent term extensions through secondary patents. Secondary patents dominate “older” therapeutic classes like anti-ulcer and anti-depressants. In contrast, newer areas like anti-virals and anti-neoplastics (anti-cancer) have a much larger share of primary patents.
    JEL: K12 L5 L65 O34
    Date: 2015–02
  6. By: Loaiza, Osmar; Muñetón, Guberney; Vanegas, Gabriel
    Abstract: This paper analyzes the relationship between poverty and armed conflict in Antioquia, Colombia. The poverty analysis is framed within Sen’s capability approach, which forms the conceptual basis of the multidimensional poverty index (Alkire and Foster, 2011). The MPI is measured with data from a government database called SISBEN, used to target social assistance programs, while the armed conflict is measured through count data about violent events during the period 1996­-2010 on each municipality. The possible existence of a relationship between poverty and armed conflict is analyzed through exploratory and non­parametric methods. The results so far suggest that the MPI is robust to the multidimensional cut off. Also, they show that those areas more affected by conflict usually showcase high levels of multidimensional poverty
    Keywords: Multidimensional Poverty, capability approach, exploratory and non-parametric methods, armed conflict.
    JEL: I32 O1
    Date: 2014–09–30

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