Suchergebnisse

The last 20 years of economic performance constitute an inauspicious beginning for rectification. As perestroika advances and the Soviet economy becomes more decentralised, rectification is moving the Cuban economy in the other direction, so that the opportunities for strain in the Cuban--Soviet relationship are bound to intensify. (SJK)

In February 1982, Cuba's Council of State approved legislation that authorized some forms of foreign investment in the island. The legislation was largely ignored by foreign business that for nearly a decade showed scant interest in investing in Cuba. However, in the 1990s foreign investment in socialist Cuba has increased rapidly. Gauges the economic significance of foreign investment in the context of the financial needs of the country; and touches on a number of issues that have a bearing on the further growth of foreign investment in Cuba. Concludes with general observations on the impact of foreign investment on the Cuban economy and prospects for the future. (Original abstract - amended)

Since the end of the Civil War in 1992, El Salvador has advanced on both the social and political fronts. Despite this progress and the recent reductions in income inequality, poverty remains high, largely as a result of low economic growth. This Systematic Country Diagnostic argues that the challenge in El Salvador is not to identify the proximate constraints to growth, but how those constraints are inter-connected and what entry points may help break what can be characterized as "vicious circles." The Systematic Country Diagnostic identifies three inter- connected vicious circles that hamper growth and shared prosperity: (1) a cycle of low growth and violence; (2) a cycle of low growth and migration; and (3) a cycle of low growth, savings and investment. Moreover, it also notes action on the identified entry points will require a "big push" (rather than marginal interventions) that help break the existing development dynamics. But this Systematic Country Diagnostic also identifies some strengths that El Salvador could build on to propel growth. Areas of opportunity include migration with the positive impact of diaspora on development, geographic and cultural proximity to large export markets, particularly the U.S., and an industrial base that can support an expansion of the tradable sector. At 20 percent of GDP the manufacturing sector is large by Latina American and by middle-income country standards.

Intro -- Contents -- Preface -- Acknowledgments -- About the Contributors -- Abbreviations -- Chapter 1 Getting the Most out of Central America's Free Trade Agreements -- What Is the Expected Impact on Trade Volumes from Central America's Efforts to Liberalize and Promote Trade? -- What Is the Expected Impact on Growth from an Increase in Central America's Trade? -- What Is the Complementary Agenda for Promoting Trade? -- What Are the Expected Welfare Effects of Trade Liberalization and Promotion in Central America? -- Notes -- References -- Chapter 2 The DR-CAFTA and the Extensive Margin: A Firm-Level Analysis -- The Data -- Export Trends -- Firm-Level Patterns of Extensive Margin -- Relationship between Tariff Reductions and Exporters' Behavior: Preliminary Evidence -- Empirical Strategy and Results -- Conclusions -- Notes -- References -- Chapter 3 Exports, Wages, and Skills: Implications for CAFTA -- Firms in International Trade -- Exporting, Productivity, and Wages: Causality -- Conclusions and Policy Implications -- Notes -- References -- Chapter 4 Trade and Economic Growth: Evidence on the Role of Complementarities for the DR-CAFTA Countries -- Literature Review -- The Data -- Econometric Methodology -- Empirical Assessment -- Trade and Growth: The Role of Complementarities -- Economic Implications of Our Estimates: Discussion for DR-CAFTA -- Concluding Remarks -- Notes -- References -- Chapter 5 Power Integration in Central America: From Hope to Mirage? -- What Does Power Integration Mean? -- The Political Economy of Integration -- Power Integration in Central America: The SIEPAC Project -- The Central America Power Sector in a Nutshell -- Obstacles to Integration of the Central American Power Sector -- Reality or Mirage? -- Conclusions -- Notes -- References.

Although the Latin American region's growth rates are at a three decade high, they have been historically disappointing in relative terms, which cannot be dissociated from the microeconomic environment in which firms operate. Policy makers may need to complement their focus on macroeconomic stability with an increased emphasis on microeconomic reforms. By providing empirical evidence linking actual firm performance to shortcomings in Latin America's investment climate, the book discusses policies that could have a significant impact on firm productivity by improving the environment in which fi