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on Central and South America |
| By: | Angelaki, Marina; Carrera, Leandro Nicolas |
| Abstract: | Latin American and South European countries share a common policy legacy of public Pay-As-You-Go (PAYG) pension systems, yet reform paths taken over the past decades between and within the two regions have varied. Latin American countries opted for the full or partial privatization of their public pension systems, yet subsequent reforms have challenged the public–private mix. Meanwhile, countries in Southern Europe opted for a less radical path, entailing different degrees of reform of their public pillars and the introduction of supplementary private ones. Our analysis focuses on Argentina, Chile, and Uruguay – in Latin America – and Spain, Italy, and Greece – in Southern Europe – and the reforms implemented since 1990. In understanding reform variation, we argue that by focusing on the role of political institutions and policy legacies, it is possible to identify reform mechanisms. |
| Keywords: | Latin America; Southern Europe; institutions; policy legacies; pension reform |
| JEL: | R14 J01 |
| Date: | 2025–07–02 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:128623 |
| By: | Bezerra De Goes, Carlos Andre; Canozzi Conceicao, Otavio; Lara Ibarra, Gabriel; Lopez-Acevedo, Gladys |
| Abstract: | What is the environmental impact of exports? Focusing on 2000–20, this paper combines customs, administrative, and census microdata to estimate employment elasticities with respect to exports. The findings show that municipalities that faced increased exports experienced faster growth in formal employment. The elasticities were 0.25 on impact, peaked at 0.4, and remained positive and significant even 10 years after the shock, pointing to a long and protracted labor market adjustment. In the long run, informal employment responds negatively to export shocks. Using a granular taxonomy for economic activities based on their environmental impact, the paper documents that environmentally risky activities have a larger share of employment than environmentally sustainable ones, and that the relationship between these activities and exports is nuanced. Over the short run, environmentally risky employment responds more strongly to exports relative to environmentally sustainable employment. However, over the long run, this pattern reverses, as the impact of exports on environmentally sustainable employment is more persistent. |
| Date: | 2025–07–14 |
| URL: | https://d.repec.org/n?u=RePEc:wbk:wbrwps:11172 |
| By: | Carolina Ulloa-Suárez; Oscar M. Valencia; Jorge Guerra; Gustavo Sánchez |
| Abstract: | This paper investigates whether compliance with fiscal rules promotes public debt sustainability. Building on an extended theoretical framework of fiscal reaction functions to incorporate the impact of compliance, and leveraging newly available crosscountry compliance data, we assess whether governments that adhere to rules adjust their primary balances more strongly in response to rising debt and benefit from lower growth-adjusted interest rates. Focusing on two regions with contrasting institutional contexts, we find five key results. First, annual compliance strengthens fiscal adjustment in the European Union (EU) but not in Latin America and the Caribbean (LAC). Second, only sustained compliance improves debt responsiveness in both regions, especially in LAC. Third, the effect varies by rule type: all categories matter in the EU, while only expenditure rules are robust in LAC. Fourth, those effects remain even with high debt levels. Finally, sustained compliance reduces growth-adjusted interest rates in both regions, easing fiscal constraints. These findings suggest that compliance alone is not sufficient—its effectiveness depends on credibility, institutional setting, and persistence over time. |
| Keywords: | Public Finances, Sustainability, Fiscal rules, Compliance. |
| JEL: | E62 H61 H68 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ulp:sbbeta:2025-23 |