nep-lam New Economics Papers
on Central and South America
Issue of 2021‒03‒08
two papers chosen by

  1. Routinization and Employment: Evidence for Latin America By Leonardo Gasparini; Irene Brambilla; Guillermo Falcone; Carlo Lombardo; Andrés César
  2. The Fiscal Cost of Conflict: Evidence from La Violencia in Colombia By Diana Ricciulli

  1. By: Leonardo Gasparini (CEDLAS-IIE-FCE-UNLP & CONICET); Irene Brambilla (CEDLAS-IIE-FCE-UNLP & CONICET); Guillermo Falcone (CEDLAS-IIE-FCE-UNLP & CONICET); Carlo Lombardo (CEDLAS-IIE-FCE-UNLP & CONICET); Andrés César (CEDLAS-IIE-FCE-UNLP)
    Abstract: We study changes in employment by occupations characterized by different degree of exposure to routinization in the six largest Latin American economies over the last two decades. We combine our own indicators of routine task content based on information from the Programme for the International Assessment of Adult Competencies (PIACC) with labor market microdata from harmonized national household surveys. We find that the increase in jobs was decreasing in the automatability of the tasks typically performed in each occupation, and increasing in the initial wage, a pattern more consistent with the traditional skill-biased technological change than with the polarization hypothesis.
    JEL: J21 J23 J24 O33
    Date: 2021–03
  2. By: Diana Ricciulli
    Abstract: This paper studies the effect of internal conflict on local fiscal capacity using evidence from Colombia’s political conflict in the mid-20th century, better known as La Violencia. Following a difference-in-differences strategy, I find that internal conflict has negative long-term consequences in local fiscal capacity. More precisely, municipalities affected by La Violencia experienced an average reduction of 10.3% in their tax revenue and a fall of 2.8 percentage points on their ratio of taxes to total revenue. Effects lasted for more than a decade and are only partially explained by a population and economic activity downturn. These results are consistent with previous evidence indicating a negative effect of violence on tax collection effciency at the local level.
    Keywords: Fiscal capacity; Internal conflict; La Violencia; Colombia
    JEL: D74 H20 N26
    Date: 2020–12–02

General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.