Eduardo A. Cavallo

A Mandate to Grow

Latin American and Caribbean Macroeconomic Report

The 2018 Macroeconomic Report, A Mandate to Grow, revisits the growth debate that has been raging in the region for the past half century. Viewing the...

All that Glitters May Not Be Gold

Assessing Latin America`s Recent Macroeconomic Performance

Latin America is growing fast and fundamentals look healthier. Are these achievements here to stay? Strong commodity prices may not last forever and a...

Debt Sustainability Under Catastrophic Risk

The Case for Government Budget Insurance

Natural disasters are an important source of vulpnerability in the Caribbean region. Despite being one of the more disaster-prone areas of the world, ...

Exchange Rate Policy and Liability Dollarization

An Empirical Study

The paper identifies the contemporaneous relationship between the exchange rate policy and external debt dollarization in a panel of industrial and de...

The Determinants of Corporate Risk in Emerging Markets

An Option-Adjusted Spread Analysis

This study explores the determinants of corporate bond spreads in emerging markets economies. Using a largely unexploited dataset, the paper finds tha...

Exchange Rate Policy and Liability Dollarization: What Do the Data Reveal About Causality?

The paper identifies the contemporaneous relationship between exchange rate policy and liability dollarization using three different definitions of do...