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Macro Policy and Employment Problems in Latin America

  • Eduardo Lora

    ()

  • Mauricio Olivera

This paper was prepared for the 1998 IDB/IIC Annual Meeting entitled: "The Employment in Latin America: What is the Problem and Should it be Addressed?" held in Cartagena, Colombia in March 1998. Despite macroeconomic stabilization and structural reforms, employment problems have persisted in Latin America. The 1990s have seen a slowdown in the rate of job creation, and unemployment rates have stagnated at about 10 percent. Informal sector employment has expanded, and increases in real wages have been particularly favorable to skilled workers. Economic cycles explain fluctuations in the employment and unemployment rates, while price stabilization and structural reforms have affected the composition of labor demand and relative wages.

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Paper provided by Inter-American Development Bank, Research Department in its series Research Department Publications with number 4116.

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Date of creation: Mar 1998
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Handle: RePEc:idb:wpaper:4116
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  1. Carmen Pagés-Serra & Gustavo Márquez, 1998. "Trade and Employment: Evidence from Latin America and the Caribbean," Research Department Publications 4108, Inter-American Development Bank, Research Department.
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  3. Pierre-Richard Agenor & Joshua Aizenman, 1994. "Macroeconomic Adjustment with Segmented Labor Markets," NBER Working Papers 4769, National Bureau of Economic Research, Inc.
  4. Chisari, Omar & Estache, Antonio & Romero, Carlos, 1999. "Winners and Losers from Utility Privatization in Argentina. Lessons from a General Equilibrium Model," UADE Working Papers 3_1999, Instituto de Economía, Universidad Argentina de la Empresa.
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  6. Robinson, Sherman & Thierfelder, Karen, 1996. "The trade-wage debate in a model with nontraded goods: making room for labor economists in labor theory," TMD discussion papers 9, International Food Policy Research Institute (IFPRI).
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  9. Eduardo Lora & Ugo Panizza, 2002. "Structural Reforms in Latin America under Scrutiny," Research Department Publications 4303, Inter-American Development Bank, Research Department.
  10. Spilimbergo, Antonio & Londono, Juan Luis & Szekely, Miguel, 1999. "Income distribution, factor endowments, and trade openness," Journal of Development Economics, Elsevier, vol. 59(1), pages 77-101, June.
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  12. Eduardo Fernández-Arias & Peter Montiel, 2001. "Reform and Growth in Latin America: All Pain, No Gain?," Center for Development Economics 166, Department of Economics, Williams College.
  13. Suzanne Duryea & Miguel Székely, 1998. "Labor Markets in Latin America: A Supply-Side Story," IDB Publications (Working Papers) 6439, Inter-American Development Bank.
  14. Lindbeck, A. & Snower, D.J., 1990. "Segmented Labour Markets and Unemployment," Papers 483, Stockholm - International Economic Studies.
  15. de Wit, Gerrit, 1993. " Models of Self-Employment in a Competitive Market," Journal of Economic Surveys, Wiley Blackwell, vol. 7(4), pages 367-97, December.
  16. Antonio Spilimbergo & Juan Luis Londoño & Miguel Székely, 1997. "Income Distribution, Factor Endowments, and Trade Openness," IDB Publications (Working Papers) 6803, Inter-American Development Bank.
  17. Cragg, Michael Ian & Epelbaum, Mario, 1996. "Why has wage dispersion grown in Mexico? Is it the incidence of reforms or the growing demand for skills?," Journal of Development Economics, Elsevier, vol. 51(1), pages 99-116, October.
  18. Easterly, William & Loayza, Norman & Montiel, Peter, 1997. "Has Latin America's post-reform growth been disappointing?," Journal of International Economics, Elsevier, vol. 43(3-4), pages 287-311, November.
  19. J. David Richardson, 1995. "Income Inequality and Trade: How to Think, What to Conclude," Journal of Economic Perspectives, American Economic Association, vol. 9(3), pages 33-55, Summer.
  20. Tan, Hong & Batra, Geeta, 1997. "Technology and Firm Size-Wage Differentials in Colombia, Mexico, and Taiwan (China)," World Bank Economic Review, World Bank Group, vol. 11(1), pages 59-83, January.
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