Structural%20Reforms%20in%20Latin%20America%3A%20What%20Has%20Been%20Reformed%20and%20How%20to%20Measure%20It%20%28Updated%20version%29

Working Papers

Structural Reforms in Latin America: What Has Been Reformed and How to Measure It (Updated version)


CODE: IDB-WP-346
AUTHOR(s): Lora, Eduardo
PUBLISHED: October 2012
LANGUAGE: English
RELATED TOPICS: Macroeconomics
DOWNLOAD FILE IN: English Spanish

Abstract:

This paper discusses the major changes that took place in the key areas of structural economic policy in Latin America between 1985 and 2009 and presents a set of indexes that attempt to measure how favorable trade, financial, tax, privatization and labor policies are for the free working of markets. On a scale from 0 to 1, the average index for all the countries and all the structural policy areas increased from 0.39 in 1985 to 0.6 at the end of the 1990s, and to 0.65 at the end of the 2000s. The structural reforms have been far-reaching, especially in the trade and financial areas, and to a lesser extent in the areas of taxation and of infrastructure privatization. The indexes can be used to make comparisons over time between areas and between countries. However, they are not adequate for measuring structural policies in Argentina and Venezuela in the 2000s, since some of the heterodox policies that these countries have adopted are not covered by the indexes.

Related Research by JEL Codes:
(or click here to find research by JEL Codes)
  • More than Revenue: Main Challenges for Taxation in Latin America and the Caribbean
    Policy Brief
    IDB-PB-175 - September 2012

    This paper aims to provide an overview of the current state of taxation in the Latin America and Caribbean (LAC) region, and its main reform needs and options. It previews the findings of recent studies prepared or commissioned by the Inter-American Development Bank (IDB) for its forthcoming flagship publication More than Revenue: Taxation as a Development Tool in the -Development in the Americas- ... (View publication)

  • Ideas for Development in the Americas, Volume 3: Reform Fatigue
    Newsletter / Journal
    IDEA-03 - January 2004

    Latin America appears to be suffering from reform fatigue--but why? Is the public tired of waiting for reforms' long-promised benefits? Are policymakers scared of bearing the political costs? Are international experts less sure of their programs and prescriptions? The articles in the latest issue of IDEA examine the causes and symptoms of reform fatigue and discuss the prospects for the reform pro ... (View publication)

  • Reducing Reliance on Natural Resource Revenue and Increasing Subnational Tax Autonomy in Bolivia
    Working Papers
    IDB-WP-298 - April 2012

    This paper address options for restructuring the revenue system of Bolivia’s subnational governments, particularly prefectures, emphasizing reduction of dependence on natural resources and strengthening of subnational tax autonomy. The paper additionally identifies tax instruments or tax bases that could be assigned exclusively to regional governments or shared with the central government, assessi ... (View publication)

Hello, Welcome to the IDB!

Please join our mailing list by simply entering your email below.