Fiscal Panorama of Latin America and the Caribbean 2015: Policy space and dilemmas. Executive Summary

The present document provides an up-to-date overview of public debt and fiscal space in the region. The main conclusions show that public debt levels are low in Latin America and high in the Caribbean. Overall, the region has enough fiscal space to apply countercyclical policies and boost production development and the fiscal management of non-renewable natural resources needs to be modernized. It explains that fiscal policy has a very limited impact on the distribution of disposable income and in a volatile macroeconomic environment, reforms should aim to strengthen personal income tax.

Financial constraints on economic development: Theory and policy for developing countries

This article contains a theoretical and policy analysis of the financial constraints on economic development in developing countries. Following a Keynesian interpretation, it concludes that financial policies are needed to relieve these constraints, given the natural tendency of financial systems to operate in ways that are dysfunctional to economic development. It then proposes three lines of policy that take account of the special characteristics of developing countries: resource allocation policies targeted at segments of strategic importance for economic and financial development; policies to control financial and external fragility; and compensatory policies of a more interventionist cast, in particular directed credit programmes for both public- and private-sector lending to complement resource allocation policies, and countercyclical regulatory barriers so that fragility can be better controlled.

Evaluation policy and strategy: Programme Planning and Evaluation Unit (PPEU) Programme Planning and Operations Division (PPOD) April 2014

Includes bibliography

Policy Brief: an assessment of the economic and social impacts of climate change on the coastal and marine sector in the Caribbean

Caribbean policymakers are faced with special challenges from climate change and these are related to the uncertainties inherent in future climate projections and the complex linkages among climate change, physical and biological systems and socioeconomic sectors. The impacts of climate change threaten development in the Caribbean and may well erode previous gains in development as evidenced by the increased incidence of climate migrants internationally. This brief which is based on a recent study conducted by the Economic Commission for Latin America and the Caribbean (LC/CAR/L.395)1 provides a synthesis of the assessment of the economic and social impacts of climate change on the coastal and marine sector in the Caribbean which were undertaken. It provides Caribbean policymakers with cutting-edge information on the region’s vulnerability and encourages the development of adaptation strategies informed by both local experience and expert knowledge. It proceeds from an acknowledgement that the unique combination of natural resources, ecosystems, economic activities, and human population settlements of the Caribbean will not be immune to the impacts of climate change, and local communities, countries and the subregion as a whole need to plan for, and adapt to, these effects. Climate and extreme weather hazards related to the coastal and marine sector encompass the distinct but related factors of sea level rise, increasing coastal water temperatures, tropical storms and hurricanes. Potential vulnerabilities for coastal zones include increased shoreline erosion leading to alteration of the coastline, loss of coastal wetlands, and changes in the abundance and diversity of fish and other marine populations. The study examines four key themes in the analysis: climate, vulnerability, economic and social costs associated with climate change impacts, and adaptive measures.

Report of the roundtable: towards development of a climate change policy for the Caribbean

The Economic Commission for Latin America and the Caribbean (ECLAC) Subregional Headquarters for the Caribbean, in collaboration with the Caribbean Community (CARICOM) Secretariat through the Caribbean Community Climate Change Centre (CCCCC), convened a meeting of technical experts working in the field of economics and climate change. The main objective of the meeting was to present the results of studies that were conducted under the project, “Understanding the Potential Economic Impact of Climate Change in Latin America and the Caribbean”. These presentations were expected to sensitize the experts to the costs of the impacts of climate change in different development scenarios and also present the costs of adaptative and mitigative strategies to 2100. It was expected that discussions of the presentation would inform the preparation of a subregional climate change policy through an examination of the existing Regional Climate Change Framework for Building Resilience. Discussions were also intended to focus on updating participants on the upcoming negotiations for the new Kyoto Protocol that would take place in Mexico in November 2010. The meeting took the form of presentations by relevant experts followed by discussions. Each discussion segment resulted in recommendations that would inform development of the policy. The meeting was held at the ECLAC Subregional Headquarters for the Caribbean, Port of Spain, Trinidad and Tobago, on 30 June 2010.

Policy brief: biotechnology with special reference to the Caribbean

The biotechnology movement in the Caribbean is a fledgling industry that has tremendous potential for development. It focuses on the use of fermentation and enzyme technologies, tissue culture and recombinant DNA (rDNA) technology and is more greatly applied to plant varieties rather than animal species. Tissue culture is by far the most developed type of technology but increasing attention is being paid to rDNA technology. Main areas include application in the agriculture sector but the use in medicine and biology are also being promoted. In its purest form, the term "biotechnology" refers to the use of living organisms or their products to modify human health and the human environment for commercial purposes. The term brings to mind many different things. Some think of developing new types of animals while others anticipate almost unlimited sources of human therapeutic drugs. Still others envision the possibility of growing crops that are more nutritious and naturally pest-resistant to feed a rapidly growing world population. Biotechnology in one form or another has flourished since prehistoric times. When the first human beings realized that they could plant their own crops and breed their own animals, they learned to use biotechnology. The discovery that fruit juices fermented into wine or that milk could be converted into cheese or yogurt, or that beer could be made by fermenting solutions of malt and hops began the study of biotechnology. When the first bakers found that they could make soft, spongy bread rather than a firm, thin cracker, they were acting as fledgling biotechnologists. The first animal breeders, realizing that different physical traits could be either magnified or lost by mating appropriate pairs of animals, engaged in the manipulations of biotechnology. Throughout human history, we have learned a great deal about the different organisms that our ancestors used so effectively. The marked increase in our understanding of these organisms and their cell products gains us the ability to control the many functions of various cells and organisms. Using the techniques of gene splicing and recombinant DNA technology, we can now actually combine the genetic elements of two or more living cells. Functioning lengths of DNA can be taken from one organism and placed into the cells of another organism. As a result, for example, we can cause bacterial cells to produce human molecules. Cows can produce more milk for the same amount of feed. And we can synthesize therapeutic molecules that have never before existed.

Report of the AD HOC Expert Group meeting on social exclusion, poverty, inequality, crime and violence: Towardsa research agenda for informed public policy for Caribbean SIDS

The Economic Commission for Latin America and the Caribbean (ECLAC), Subregional Headquarters for the Caribbean convened an expert group meeting on Social Exclusion, Poverty, Inequality – Crime and Violence: Towards a Research Agenda for informed Public Policy for Caribbean SIDS on Friday 4 April 2008, at its conference room in Port of Spain. The meeting was attended by 14 experts drawn from, the University of the West Indies (UWI), St. Augustine, Trinidad and Tobago; and Mona Campus, Jamaica; the St. Georges University, Grenada; the Trinidad and Tobago Crime Commission and the Ministry of Social Development, Government of Trinidad and Tobago and representative of Civil Society from Guyana. Experts from the United Nations System included representatives from the United Nations Fund for Women (UNIFEM), Barbados; the United Nations Development Programme (UNDP), Port of Spain and UNDP Barbados/SRO and the Organisation of Eastern Caribbean States (OECS). The list of participants appears as an annex to this report. The purpose of the meeting was to provide a forum in which differing theories and methodologies useful to addressing the issues of social exclusion, poverty, inequality, crime and violence could be explored. It was expected that at the end of the meeting there would be consensus on areas of research which could be pursued over a two to four-year period by the ECLAC Subregional Headquarters for the Caribbean and its partners, which would lead to informed public policy in support of the reduction of the growing violence in Caribbean society.

Macroprudential policy: an institutionalist interpretation

One of the consequences of the recent international economic crisis has been the demand for new economic policy tools, to add to the well-established monetary, exchange-rate, and fiscal policy mechanisms. In particular, more effective ways are needed to regulate the financial system and prevent the emergence of imbalances that affect the real economy. In that context, macroprudential policy has been singled out as another economic-type public policy which could help maintain financial stability. Nonetheless, the discussions and development of the literature on this topic are founded on pragmatic considerations that are not directly related to the orthodox or heterodox schools of economic thought. So the aim of this article is to provide an institutionalist reading of macroprudential policy, to understand it in terms of the theoretical content of institutional approaches.

Inland waterways classification as a tool for public policy and planning: core concepts and proposals for South America

This FAL Bulletin looks at the classification of navigable inland waterways in South America. It describes an existing classification system (ECMT/UNECE), noting its role in the development of river transport, based on which it discusses lessons learned and presents a preliminary proposal for a classification for South America.