Archive of F&D Issues
|Do you subscribe to the hard copy of F&D?
Please fill in this pdf survey
Subscription Application Form
(pdf, 420 Kb)
Use the free Adobe Acrobat Reader to view pdf files
Free Email Notification
Receive emails when we post new
items of interest to you.
Modify your profile
A quarterly magazine of the IMF
42, Number 4
A Time of
Latin America's Resurgence
Anoop Singh and Charles Collyns
Despite a better economic performance, many in Latin America remain
dissatisfied with the level of progress. Latin America's economic
resurgence provides a historic opportunity for the region to catalyze
its considerable natural and human capital resources into sustained
and higher growth, breaking the cycle of crises of the past.
A Fork in the Road
During a period of elections, Latin America faces a choice between
populism and deeper reform. Without economic growth, political support
for macroeconomic stability will weaken, and the danger of a return
to the ups and downs of the past cannot be ruled out.
Putting Latin America Back on the Map
Consolidation of democratic institutions is a vital part of Latin
America's recovery, so that it can become more competitive
in a globalized economy. This means tackling the challenges of building
state capacity, and improving accountability, representation, and
Stuck in a Rut
Jaime Saavedra and Omar S. Arias
Although macroeconomic stability in Latin America has generally
improved, the succession of economic crises in the late 1990s and
early 2000s has proved devastating for the poor. But progress on
reducing poverty can be made if governments focus on providing more
opportunities through access to health, education, jobs, and financial
Latin America's Indigenous Peoples
Gillette Hall and Harry Anthony Patrinos
Despite greater political power, indigenous peoples still lag behind.
More progress is needed in such areas as land rights, labor legislation,
and access to credit, as well as better education programs and health
services, and more data about the conditions faced by indigenous
|| Taming the Monster
Agustín Carstens and Luis I. Jácome
Latin America's central banks have managed to beat back hyperinflation
and have used their newly gained independence to cement price stability.
But many challenges remain, including improving banking supervision,
keeping fiscal deficits in check, and dealing with dollarization.
Building on CAFTA
How the free trade pact can help foster Central America's economic
integration. To ensure the greatest benefits while minimizing risks,
the region needs enhanced policy coordination and harmonization, especially
in the areas of taxes and the financial sector.
in This Issue
The Inequality Trap
Francisco H.G. Ferreira and Michael Walton
Considerable evidence shows that equity—defined as equality
of opportunity and avoidance of absolute deprivation—plays a
role in the pursuit of long-term prosperity for society as a whole.
Policymakers must find ways to bring equity to the center of the development
discourse and policy design.
A War Chest for Fighting HIV/AIDS
With billions of dollars mobilized to fight HIV/AIDS, the challenge
is how to spend the money wisely. Weak institutions and fragile budgeting
undermine absorption of funds in low-income countries, while the focus
on AIDS programs without the requisite attention to the broader health
care system is neither sustainable nor good policy.
Islamic Finance Gears Up
Mohammed El Qorchi
Islamic finance is developing at a remarkable pace. But the industry
faces unique regulatory challenges. Adopting best practices for supervision
and accounting is critical for future market and industry development.
Letter from the Editor
Letters to the Editor
Survival of the fittest; Who should pay for university?;
Not just for profit.
News from international agencies
Bird flu action plan; Digital divide harms growth;
Africa fighting desertification; Working longer.
People in Economics
Economics with a Social Face
Profile of Latin American economist Nora Lustig. She has been in
the vanguard of development economists who not only insisted on
the link between poverty reduction and macroeconomic policy, but
also advocated well-targeted social policies to help the poor break
out of poverty for good.
Back to Basics
Remittances: A Lifeline for Development
Workers' remittances—earnings sent home as either cash
or goods—have been growing rapidly and now represent the largest
source of foreign income for many developing countries. But what
is the downside, why are costs so high, and should governments do
more to encourage the growth of remittances?
Sending Money Home: Trends in Migrant Remittances
The top three recipient countries for remittances in 2004 were India,
China, and Mexico. But it is much smaller countries that top the
list when controlling for the size of the economy, such as share
of GDP. A chart-based look at remittance flows.
The United States and
the World Economy: Foreign Economic Policy for the Next Decade,
C. Fred Bergsten and others
The Democracy Advantage: How Democracies
Promote Prosperity and Peace, Morton H. Halperin, Joseph
T. Siegle, and Michael M. Weinstein
Curbing the Boom-Bust Cycle: Stabilizing
Capital Flows to Emerging Markets, John Williamson
Aid and Growth: The Policy Challenge
The IMF's Economic Counsellor says we need more than aid to
break the cycle of poverty. He argues that if the campaign to make
poverty history is to succeed, then the failures of the past must
be recognized, starting with recognition of the chequered history
In recent years, Peru has enjoyed robust growth thanks
to sound macroeconomic policies, significant progress with structural
reforms, and a favorable external environment. Continued strong
growth will help further reduce Peru's still high poverty
and social inequalities.
List of Articles of 2005