Responsible Fiscal Policy and Economic Development: A Challenge for Latin America After COVID-19
Por:
Solorza, Marcia
Publicada:
3 jul 2021
Resumen:
The COVID-19 pandemic has made it evident that the deep global
economic-financial crisis of 2007-2009 has not been overcome.
Instability and uncertainty have reached extreme levels in all public
and private spheres, demanding to revolutionize the economic structure,
promote innovation in methods to manage production, generate originality
in the social and institutional organization of the State and to
accelerate the advent of new energy sources to promote in unprecedented
ways the relationship between human beings and nature. In recent years
and during the pandemic, in Latin American economies, unemployment,
underemployment and informal employment, public debt, and inflation
rates have increased, while the real income of governments fell. This
situation is accompanied by persistent operating account deficits,
public and private debt negotiations, high interest rates, periods of
stability or appreciation in the exchange rate, volatility of foreign
capital flows and flight of national capital; all being favorable
elements for the mainstream policy based on fiscal discipline. In a
post-pandemic stage, during which income concentration accelerates and
the prices of basic necessities such as food and medicines increase, the
planned government deficit, taking into account the heterogeneity among
countries in the region, could avoid another lost decade with a
multiplier effect on socio-economic development.
Filiaciones:
Solorza, Marcia:
Solorza, M (Corresponding Author), Univ Nacl Autonoma Mexico, Dept Econ, Mexico City, DF, Mexico
Univ Nacl Autonoma Mexico, Dept Econ, Mexico City, DF, Mexico
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