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From Natural Resources to the Knowledge Economy : Trade and Job Quality

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Author Info

  • David de Ferranti
  • Guillermo E. Perry
  • Daniel Lederman
  • William E. Maloney

Abstract

The study questions whether, after a decade of remarkable progress in trade reform, Latin America and the Caribbean really integrates into the global market, offering a promising rapid growth, and good jobs for its workers. For despite the incidence of the loosely called "knowledge economy", the concern prevails that most countries' rich natural resources, still are the determining factor for exports. Policy recommendations include fostering openness to trade, market access, and foreign direct investment flows, in addition to building human capital, institutions, and public infrastructure, without disregarding the natural advantages. To this end, policymakers should aim at developing educational systems that provide quality education, focused on lifelong learning, and training activities to build human capital. Emphasis should follow on research and development (R&D) incentives, and innovations systems, arguing that countries should experiment with taxation incentives, and subsidies to promote both private, and public investments in R&D, (dependent on the institutional capacity of governments to enforce tax laws, and monitor the quality of investments). Moreover, evidence in this report, suggests that information, and communications technology (ICT) can reduce coordination costs, enabling an effective industrialization, and market access.

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Bibliographic Info

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This book is provided by The World Bank in its series World Bank Publications with number 14040 and published in 2002.

ISBN: 0-8213-5009-9
Handle: RePEc:wbk:wbpubs:14040

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Postal: 1818 H Street, N.W., Washington, DC 20433
Phone: (202) 477-1234
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Web page: https://openknowledge.worldbank.org
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Related research

Keywords: Health Economics and Finance International Economics and Trade - Free Trade International Economics and Trade - Trade Policy Economic Theory and Research Environmental Economics and Policies Macroeconomics and Economic Growth Environment Health; Nutrition and Population;

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Citations

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Cited by:
  1. Terheggen, Anne, 2010. "The new kid in the forest: the impact of China's resource demand on Gabon's tropical timber value chain," MPRA Paper 37982, University Library of Munich, Germany.
  2. Terheggen, Anne, 2011. "The tropical timber industry in Gabon: a forward linkages approach to industrialisation," MPRA Paper 37976, University Library of Munich, Germany.
  3. José Antonio Ocampo & María Angela Parra, 2004. "The commodity terms of trade and their strategic implications for development," International Trade, EconWPA 0403001, EconWPA.
  4. Aleksandra PARTEKA & Massimo TAMBERI, 2011. "Export Diversification and Development - Empirical Assessment," Working Papers 359, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  5. Lederman, Daniel & Maloney, William F., 2003. "Trade structure and growth," Policy Research Working Paper Series 3025, The World Bank.
  6. Daniel Müller-Jentsch, 2005. "Deeper Integration and Trade in Services in the Euro-Mediterranean Region : Southern Dimensions of the European Neighborhood Policy," World Bank Publications, The World Bank, number 7335, October.
  7. Cuervo-Cazurra, Álvaro & de Holan, Pablo Martin & Sanz, Luis, 2014. "Location advantage: Emergent and guided co-evolutions," Journal of Business Research, Elsevier, vol. 67(4), pages 508-515.
  8. Morley, S. & Vos, R., 2004. "Bad luck or wrong policies? : external shocks, domestic adjustment, and the growth slowdown in Latin America and the Carribean," ISS Working Papers - General Series, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague 19156, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
  9. World Bank, 2003. "Nigeria - Policy Options for Growth and Stability : Volume 1. Main Report," World Bank Other Operational Studies 14388, The World Bank.
  10. World Bank, 2004. "Tertiary Education in Poland," World Bank Other Operational Studies 14948, The World Bank.

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