Publications
Publications
- 2020
- El desafío del desarrollo en América Latina. Políticas para una región más productiva, integrada e inclusiva [The Challenge of Development in Latin America: Policies for a More Productive, Integrated and Inclusive Region]
El problema de la productividad [The Productivity Problem]
By: Laura Alfaro and Fabio Kanczuk
Abstract
The weak performance of the Latin American region in terms of the growth of its GDP is largely due to its low productivity growth. In fact, the region's main problem has been its lack of efficiency in combining capital and labor to produce. In this chapter, we investigate the possible reasons for the low productivity of the region.
We compare the countries of Latin America with the “frontier”, in terms of its production per capita. In general, we see that there has been little convergence between the two, and that the productivity of Latin America is far from that of the efficient frontier countries. In other words, there are “sources of inefficiency” that obstruct the ability of Latin American countries to adopt the most efficient practices of the frontier in terms of productivity.
We compare the countries of Latin America with the “frontier”, in terms of its production per capita. In general, we see that there has been little convergence between the two, and that the productivity of Latin America is far from that of the efficient frontier countries. In other words, there are “sources of inefficiency” that obstruct the ability of Latin American countries to adopt the most efficient practices of the frontier in terms of productivity.
Keywords
Citation
Alfaro, Laura, and Fabio Kanczuk. "El problema de la productividad [The Productivity Problem]." Chap. 3 in El desafío del desarrollo en América Latina. Políticas para una región más productiva, integrada e inclusiva [The Challenge of Development in Latin America: Policies for a More Productive, Integrated and Inclusive Region], 85–123. Caracas, Venezuela: CAF – Banco de Desarrollo de América Latina, 2020, Spanish ed.