This report presents the results for the case of Ecuador. The document is presents a historical evolution of macroeconomic indicators in the country; the evolution and functioning of labor markets in Ecuador; analysis of the living conditions of population and social protection systems in the country today; a description of the computable general equilibrium model used in the project; simulations of macroeconomic shocks and public policy to analyze their impact on poverty and inequality; and the main conclusions and policy recommendations.
This study describes how Nicaragua being a small open economy is vulnerable to the events of the international economy. After a review of historical data, general equilibrium analysis and application of microsimulation methodology, the study concludes that the external shocks that have had a greater impact on poverty, inequality and vulnerability of Nicaraguan households have been those related to the reduced flow of remittances, the increase in world oil prices and lower capital inflows.
This study presents the effects of the economy based on macroeconomic events that affected the Mexican economy in the last two decades. The observed results indicate that a reduction in world prices of major export goods, an increase in global food prices and a drop in remittance income, would cause the most damage in the main macroeconomic indicators, labor market and poverty. It also simulates and analyzes the five public policies relevant social protection that could cope with these shocks.
This study addresses the need identified by the governments of seven countries in Latin America to strengthen their knowledge about policy options to mitigate the effects of external shocks.
This study describes how the last decade of the twentieth century was characterized by strong macroeconomic volatility in Latin American economies. In general, the reforms imposed in the early nineties increased flows of entry and exit of goods and capital and also made the economies vulnerable to external shocks. The study presents two toold necessary to define a suitable methodological framework that takes account of all areas, macroeconomic and microeconomic vulnerability .These are a Computable General Equilibrium Model (CGE) and microsimulation analysis.
This is the analysis of the economic context including the labor market, and social protection in the study countries (Bolivia, Colombia, Costa Rica, Ecuador, Guatemala, Mexico and Nicaragua) during the period 1990-2007. It shows that these (like the generality of the Latin American countries) are very sensitive to the impacts, both positive and negative external shocks.