As the tragicomedy of the 2015-2016 election season plays out, falsehoods, hyperbole and mean-spirited attacks among contenders will proliferate. The issue of trade (along with illegal immigration) will be the proverbial whipping boy in this contest. While the contenders choose not to be fully informed of the facts, there is no excuse for individual citizens not to be.
Venezuelans are having children at higher rates than their counterparts in other countries, despite the economic crisis (aided, perhaps in part, by the condom shortage). The resulting non-working, dependent population will make it increasingly difficult for the government to sustain its high levels of redistribution, even if oil prices improve. Ultimately, demographics may be what doom the Bolivarian revolution.
In a series of posts—this our first—we will assess whether it is not only desirable but also possible that the two divergent trade blocs of Pacific Alliance and MERCOSUR in Latin America can converge as Chile is now pushing. Or is this just another exercise in empty political posturing?
Venezuelan President Nicolás Maduro has resurrected century-old land claims over two-thirds of neighboring Guyana and its corresponding maritime borders. Venezuela’s aggressive efforts are a direct challenge to the hemisphere’s traditions of rule of law and diplomacy. The U.S. and other neighbors need to step up their condemnation of Venezuela’s aggression and urge a diplomatic solution.
In the final stages of the Trans-Pacific Partnership negotiations, the U.S. is still pushing for the elimination of safeguards to regulate capital inflows and capital flight. Those controls have mitigated past crises and prevent others in economies that for decades have been buffeted by financial instability.
Beyond the economics of the 30 million Latin Americans living abroad, out-migraton from the region has also created a looming a political problem. Countries and societies are losing political and civic talent and leadership, precisely at a time when Latin America confronts complex, technical policy and economic reforms.
In 2013, Uruguay became the first country in the world to legalize the possession, cultivation and distribution of marijuana. The bold move unlocked the discussion on drug policy reform in the Americas. But is it working in its purported objectives in reducing violence, illegality and health risks?
Using ECLAC data, we constructed a graph tracing the past 20 years of exports from South America to China as a percentage of their total exports. In this light, it’s not surprising that those are the same four countries the Chinese premier visited last month.
Latin America invests about 2% of GDP on infrastructure. Between 1992 and 2011 China invested an average of 8.5% of GDP in infrastructure per year. Given the demonstrated effects of infrastructure on development and poverty reduction, it’s time for the region to make a concerted effort to attract foreign investors.
India is looking to adopt Latin America’s famous and popular conditional cash transfer (CCT) programs. But are they transferable to a country of 1.2 billion people, in which 363 million of them live below the poverty line, 260 million live in rural areas?
