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This paper explores the credibility of monetary policy in Colombia and its evolution after the adoption of the inflation targeting system. To do so, a non-linear Phillips curve is estimated based on unemployment for an open economy, which incorporates the direct effect of past inflation rate on price formation and a prospective component. It shows a deeper trade-off between inflation and unemployment and lower inflationary persistence. Consequently, the country could emphasize the greater responsibility of the central bank in economic growth and employment. [ABSTRACT FROM AUTHOR]

This paper analyzes the extent to which economic policy uncertainty affects presidential approval in four Latin American countries (Brazil, Chile, Colombia, and Mexico). Using panel (time-series cross-sectional) estimation methods, we show that economic policy uncertainty has a negative impact on presidential approval in our sample. A one-standard-deviation increase in the level of economic uncertainty reduces presidential approval by approximately 12 percent. Our results are consistent with the political economy model of Alesina et al. (1993), which shows that voters are less likely to re-elect the incumbent when faced with uncertainty about economic policy. Incumbent competence signalling can exarcerbate this effect. [ABSTRACT FROM AUTHOR]

This paper is aimed at assessing the spillover effects of the US Economic Policy Uncertainty (EPU) in macroeconomic variables of major Latin American Countries (LAC): Mexico, Colombia, Brazil, and Chile. To do that, we estimate a set of two-country Structural Vector Autoregressive (SVAR) models for 1997-2019; each model includes the US and one of the LAC. We use the following variables: EPU indexes, exchange rates, consumer price indexes, industrial production (IP), and interest rates (IR) of the US and the studied LAC. The main finding is that positive shocks in the US EPU index lead to currency depreciation for all four LAC; the largest effect is for Mexico. Other statistically significant results are a brief and small positive impact on Colombia's IP and a positive impact on Mexico's IR. The remaining LAC's estimates are statistically insignificant. For this reason, we applied Rossi and Wang's (2019) robust Granger causality tests that considers structural breaks. Finally, the estimates before and after the 2008 financial crisis suggest that LAC became slightly more responsive to US EPU shocks after the crisis. [ABSTRACT FROM AUTHOR]

This paper introduces an unpublished 1970 work written by the distinguished development economist Lauchlin Currie (1902-93) on Paul Rosenstein Rodan's famous 1944 essay on the "Big Push" which led to the debate on balanced and unbalanced growth in which Albert Hirschman (1915-2012) was an important contributor. Both Currie and Hirschman had been key economic advisers to the Colombian government and here their respective views on development planning are contrasted. In particular, it is shown how Currie's 1970 paper clarifies the theory that serves as the basis for Colombia's 1971-74 National Plan, which he designed and helped execute, and whose institutional innovations have had a lasting impact on Colombia's recent economic history. [ABSTRACT FROM AUTHOR]

This paper discusses the gap between the expected and real effects of Colombian trade liberalization policy. First, we stress the influence of international integration on Colombia's growth and development, and explains why moving toward more free trade has not contributed to the consolidation of high value-added industries in that country. Ultimately, we apply the theory of political cycles and suggest that political power in Colombia has contributed to get the country trapped into an international dependency on primary commodities. [ABSTRACT FROM AUTHOR]

The aim of this paper is to present a historical series of Colombian GDP from 1888 to 2013. For that purpose we have employed an expenditure approach to reconstruct the GDP for the period 1888-1929. We linked it to the official statistics data of the DANE. The result is expressed in 2011 purchasing parity dollars for international comparisons. [ABSTRACT FROM AUTHOR]

This paper reviews the discussion on the most appropriate method for measuring productivity. It takes into account the TFP, the productivity of capital, and labor productivity, as well as its interpretations, scope, and relations. Additionally, it analyzes the impacts of this discussion on the evolution of the Colombian minimum wage over the period 2001-2016. Finally, it discusses the relationship between the growth of productivity and the distribution of income between capital and labor, proposing a critique of the neoclassical perspective. [ABSTRACT FROM AUTHOR]

This paper analyzes the welfare effects of improvements in investment in education and infrastructure with public-private participation, in a fiscal framework of a small and open economy for the Colombian economy. A DSGE model is built where families make decisions on human capital and the government finances megaprojects by placing infrastructure bonds. The results suggest greater effects in the long-term adjustment and improvements in social welfare when public spending is focused on sectors with higher levels of employment and technological and innovation improvements are introduced. [ABSTRACT FROM AUTHOR]

This article aims at making a theoretical review based on research, which has taken place as part of a doctoral dissertation entitled Strategic Management to Achieve Competitiveness in the Textile Sector in Bogota. This research paper analyzes the impact of Chinese competition on the textile sector, which also sets the bases for a project done at Universidad EAN. This study analyzes and describes structural differences that stop competitive development of PyMEs from the textile-manufacturing sector in Bogota facing a strong Chinese competition. Its variable for the analysis made is the macroeconomic policy, a reason to study its direct relation with competitiveness of PyMes from the textile sector, the importance of the economic policy in Colombia during the last two presidential periods and the e c onomic policy of China in the last five years. L'analyse théorique et conceptuelle que nous offre cet article a pour origine la thèse doctorale "Directionnement stratégique pour la compétitivité des PME du secteur textile-confection de la ville de Bogotá: analyse face à la concurrence chinoise" réalisée par l'Université de Celaya, au Mexique, et constituant la base du projet d'analyse et d'explication des déficiences structurelles qui retardent le développement compétitif des PME du secteur textile-confection de Bogotá. La variable d'analyse prise en compte dans ce document sont la politique macroéconomique qui sera analysée sous l'angle de la compétitivité des PME du secteur et l'importance de la politique économique en Colombie lors des deux derniers mandats présidentiels ainsi que la politique économique chinoise du dernier quinquennat. [ABSTRACT FROM AUTHOR]

The purpose of this paper is to analyze, with a new institutional economics framework, regulatory activity and its motivations. Better regulatory frameworks contribute to create an environment of legitimacy for the actions of the State. Nevertheless, this legitimacy can only be achieved by ensuring the efficiency and effectiveness of such frameworks in relation to the aim pursued such as correct market failures, reduce inequity failures, or generation of more competitive environments. [ABSTRACT FROM AUTHOR]

This article describes some of the essential elements of both the Colombian interbank monetary market and the liquidity management (of local currency) by the Banco de la República. In addition, the paper proposes a simple model that incorporates some of those essential elements so that it can serve as a benchmark for the formal analysis of the Colombian interbank market in the future. The article explains both the differences among the main operations in this market and the mechanisms used by the Banco de la República to manage liquidity in the financial system. It also describes the Banco de la República's expansionary daily auction and the determination of the corresponding quota (maximum amount to be lent to the financial system). [ABSTRACT FROM AUTHOR]

Economic and demographic growth in Colombia has been dominated by the largest cities. This has resulted in the common belief that Colombia is mainly an urban country. The aim of this paper is to show how economic and demographic growth has evolved, especially in terms of population density, since the mid-eighties. Using Markov transition chains and their spatial counterpart, we show that since the mid-eighties, municipalities have experienced a highly persistent pattern in which the main cities have maintained their position as the most densely populated. In contrast, municipalities that exhibited low levels of population density have remained relatively stagnant. [ABSTRACT FROM AUTHOR]

The analysis of innovative processes such as securitization leads to asking if the behavior of economic agents is a response to the institutional changes with specific objectives, or if the changes in the regulatory regime are the result of market behaviour or needs of the economy. The objective of this paper is to apply the theory of institutional change of North (agent, source, process and way of change) to examine the Colombian market in the period 1993-2013 in order to explore the main events which had an influence on the performance of securitization in general, and mortgage securitization in particular. [ABSTRACT FROM AUTHOR]

The 1949 World Bank mission headed by Lauchlin Currie recommended an integral attack on the interlocking vicious circles of underdevelopment through a widening of domestic and international markets and a reform of macroeconomic policy formulation. In 1950 Currie was invited by the Colombian Government to return as adviser to a new national planning board. In 1952 Albert Hirschman was also hired as an adviser to this board. This paper discusses the heated disagreements between these two distinguished economists, their influence on the theory and practice of economic development in Colombia and of the World Bank, and in particular their focus on planning based on an integral program versus individual project approaches to planning. [ABSTRACT FROM AUTHOR]

Current globalization poses serious challenges facing the regulation of conduct of multinational corporations. Specifically, the labor law is being attacked by the forces of neoliberal economic policy, inadequate transnational law and the limited capacity of the nation state to enforce the law, especially in developing countries. This paper enriches the debate about the social and business regulation from the perspective of sociological systems theory. Based on the analysis of Luhmann communications rather than the actions or interactions, the paradigm of reflexive law reconciles social and economic regulatory objectives, contributing to more effective modes of regulatory governance and participatory. However, beyond the industrialized economies, the realities of industrial relations conflict and deep inequality have so far limited the adoption of reflective analytical law, presenting opportunities for additional theoretical and methodological reflections. [ABSTRACT FROM AUTHOR]