Digital drivers of inclusive growth in Africa and Latin America and the Caribbean

Author(s):  
Bakary Traoré ◽  
Jose René Orozco ◽  
Juan Velandia
2021 ◽  
Author(s):  
Carlos Scartascini ◽  
Joanna Valle Luna

Inclusive growth requires high levels of trust, both among individuals and in institutions, and trust is shaped by a variety of factors, including the distribution of income and wealth. This is problematic when that distribution is not perceived as legitimate. Latin America and the Caribbean has traditionally been a highly unequal region. Inequality might be associated with lower trust because it reflects an unequal distribution of power, as those at the top can use the states coercive power to benefit themselves at the expense of others. Inequality nonetheless tends to be wrongly estimated, as most people do not accurately estimate their countrys income and wealth distribution, or their position within.


2020 ◽  
Vol 20 (195) ◽  
Author(s):  
Antonio David ◽  
Takuji Komatsuzaki ◽  
Samuel Pienknagura

This paper estimates the macroeconomic effects of structural reforms in Latin America and the Caribbean (LAC) using the dataset constructed by Alesina et al. (2020). We find that large changes in the reform index have positive effects on GDP and employment that reach 2 percent after 5 years. Furthermore, reforms boost investment, exports, imports, and reduce export concentration, in addition to favoring tradable sectors. Nonetheless, the results also indicate that the effects of reforms have not been uniform across different segments of the population. These findings bring to the forefront the need to consider accompanying policies to ensure that reforms promote inclusive growth. Moreover, evidence from country case studies using the synthetic control method point to heterogeneous effects of reforms on income per capita.


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