Found 128 article(s) for author 'Ricardo Hausmann'

The Education Myth

The Education Myth. Ricardo Hausmann, May 31, 2015, Opinion. “In an era characterized by political polarization and policy paralysis, we should celebrate broad agreement on economic strategy wherever we find it. One such area of agreement is the idea that the key to inclusive growth is, as then-British Prime Minister Tony Blair put in his 2001 reelection campaign, “education, education, education.” If we broaden access to schools and improve their quality, economic growth will be both substantial and equitable…Link

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New Growth Projections Predict the Rise of India, East Africa and Fall of Oil Economies

New Growth Projections Predict the Rise of India, East Africa and Fall of Oil Economies. Ricardo Hausmann, May 7, 2015, Paper. “South Asia and East Africa top the list, while oil-driven economies face the sharpest fall in new growth projections and rankings of productive dynamism for 128 countries, as presented by researchers at the Center for International Development at Harvard University (CID). Using their own measure of economic complexity that captures the productive capabilities embedded in a country’s exports, CID researchers paint a new picture of the economic growth landscape, which foresees growth in emerging markets to continue to outpace developed countries. They also predict important reversals among growth leaders, with India expected to overtake China.” Link

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Moving to the Adjacent Possible: Discovering Paths for Export Diversification in Rwanda

Moving to the Adjacent Possible: Discovering Paths for Export Diversification in Rwanda. Ricardo Hausmann, May 2015. “How can Rwanda, which currently has one of the lowest levels of income and exports per capita in the world, grow and diversify its economy in presence of significant constraints? We analyze Rwanda’s historical growth and trade performance and find that Rwanda’s high transportation costs and limited productive knowledge have held back greater export development and have resulted in excessive rural density. Three basic commodities–coffee, tea, and tin–made up more than 80 percent of the country’s exports through its history and still drive the bulk of export growth today...” Link

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Secular Stagnation for Free

Secular Stagnation for Free. Ricardo Hausmann, March 27, 2015, Opinion. “Something is definitely rotten in the state of capitalism. Despite unprecedentedly low interest rates, investment in most advanced countries is significantly below where it was in the years prior to the 2008 crisis, while employment rates remain stubbornly low. And even investment in the pre-crisis period was unimpressive, given low prevailing interest rates. For some reason, achieving a level of investment that would generate full employment seems to require negative real (inflation-adjusted) interest rates, which is another way of saying that people have to be paid to invest…” Link

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Secrets of Economic Growth | Ricardo Hausmann

Secrets of Economic Growth | Ricardo Hausmann. Ricardo Hausmann, March 10, 2015, Video. “Economic Complexity is like a game of Scrabble, says Ricardo Hausmann. The more letters you have, the more words you can make; the more capabilities a country has, the more diverse products it can generate. In this video for the World Economic Forum Hausmann, from the Harvard Kennedy School of Government, uses metaphors and metrics to explain the gap between rich and poor countries.” Link

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Redistribution or Inclusion?

Redistribution or Inclusion? Ricardo Hausmann, January 30, 2015, Opinion. “The issue of rising income inequality loomed large at this year’s World Economic Forum in Davos. As is well known, the United States’ economy has grown significantly over the past three decades, but the median family’s income has not. The top 1% (indeed, the top .01%) have captured most of the gains, something that societies are unlikely to tolerate for long. Many fear that this is a global phenomenon with similar causes everywhere, a key claim in Thomas Piketty’s celebrated book ‘Capital in the Twenty-First Century.’ But this proposition may be dangerously…” Link

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Venezuela’s economic collapse owes a debt to China

Venezuela’s economic collapse owes a debt to China. Ricardo Hausmann, January 20, 2015, Opinion. “Every economic catastrophe brings soul-searching. When Argentina collapsed at the end of 2001, the International Monetary Fund was forced into a critical assessment of its involvement in the country. Similar processes were triggered at the World Bank after unsuccessful development projects in Africa. The coming implosion of the Venezuelan economy should prompt similar introspection…” May require purchase or user account. Link

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The Economics of Inclusion

The Economics of Inclusion, Ricardo Hausmann, November 7, 2014, Opinion. “Many people find economic growth to be a morally ambiguous goal – palatable, they would argue, only if it is broadly shared and environmentally sustainable. But, as my father likes to say, “Why make something difficult if you can make it impossible?” If we do not know how to make economies grow, it follows that we do not know how to make them grow in an inclusive and sustainable way. Economists have struggled with the tradeoff between growth and equity for centuries. What is the nature of the tradeoff? How can it be minimized? Can growth be sustained if it leads to greater inequality?…Link

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Venezuela’s president is crafting a disaster

Venezuela’s president is crafting a disaster. Ricardo Hausmann, September 18, 2014, Opinion. “YOU’RE A professor at a university in New England. You have gone on a business trip to the Middle East. At 3 a.m., as you are trying to catch up with your sleep and your jet lag, your daughter calls. She is distraught because President Obama has just gone on national television and spent 10 minutes telling the country that you are a thief and a financial assassin, that you conspire with dark foreign forces to harm the nation. While on his rant, he orders the Prosecutor General and the Attorney General to act against you…Link

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Should Venezuela Default?

Should Venezuela Default? Ricardo Hausmann, September 5, 2014, Opinion. “Will Venezuela default on its foreign bonds? Markets fear that it might. That is why Venezuelan bonds pay over 11 percentage points more than US Treasuries, which is 12 times more than Mexico, four times more than Nigeria, and double what Bolivia pays. Last May, when Venezuela made a $5 billion private placement of ten-year bonds with a 6% coupon, it effectively had to give a 40% discount, leaving it with barely $3 billion. The extra $2 billion that it will have to pay in ten years is the compensation that investors demand for the likelihood of default…”  Link

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