...Which countries will manage to notch the fastest growth over the next decade? Nobody can know for certain, but Harvard’s Center for International Development has gone to great lengths to try to find out. Its key insight is that growth hinges on economic complexity. The more different skills a population has developed, and the more adaptable its economy, the better its chances of expansion. The more dependent it remains on one industry, the harder it is to achieve growth. It measures this phenomenon in a fascinating and public...
Ricardo Hausmann and Frank Muci - Americas Quarterly
On August 2017, the White House imposed financial sanctions on Venezuela, limiting its access to U.S. financial markets. Shortly after, Venezuela’s economy and oil sector collapsed. Economists Mark Weisbrot, co-director of the Center for Economic and Policy Research, and Jeffrey Sachs conclude that the sanctions caused the collapse and human suffering that followed. Is this persuasive?...
Thousands of angry demonstrators in Venezuela took to the streets again this week to protest the government of President Nicolás Maduro, two weeks after he was sworn in for a second term following an election that many critics say was rigged. The protests were organized by opposition leader Juan Guaidó, president of the National Assembly, who has declared himself acting president.
Once one of the richest countries in Latin America with the world’s largest oil reserves, Venezuela has been in political, economic, and...
When Adam Smith wrote ‘The Wealth of Nations’ in 1776, the richest country in the world was four times richer than the poorest one. Today, Singapore is over 110 times richer than Burundi. What could possibly explain such an extreme divergence of the wealth of nations?
Economists have shown that these differences are too large to be explained by differences in the availability of land or capital – including human capital. So, they ascribe it to differences in the productivity with which land and capital are used,...
Ricardo Hausmann on NPR's Planet Money: The Indicator podcast
The Venezuelan economy has collapsed. Years of economic mismanagement and a deepening political crisis have led to a recession that has almost no parallel in recent memory.
But explaining just how bad things have gotten is also really hard because the normal economic indicators that we use to measure a country's economy have started to sound so so unfathomable — 25,000% inflation, for example — that it feels impossible to get our heads around them.
Reforming immigration law to allow free movement of people through progressive laws could tackle Sri Lanka’s chronic economic challenges of narrow exports, low Foreign Direct Investment (FDI) and limited innovation, a top expert said yesterday, outlining many examples of countries that have experienced growth spurts by opening up their labour markets.
Prof. Ricardo Hausmann is Director of Harvard’s Center for International Development and Professor of the Practice of Economic Development at the Kennedy School of Government. Delivering...
Some parts of the world do not follow a cycle, but may actually enjoy secular growth over the next decade or so. The only problem is that you will need courage and a lot of due diligence to take advantage.
The latest edition of the Atlas of Economic Complexity by Harvard’s Center for International Development was published last week. It shows the countries best positioned to grow thanks to their networks of diverse and transferable skills. Their projected winners might provide some:
Researchers at Harvard’s Center for International Development are predicting that South Africa's economy will grow at 4.9% annually until 2026. This‚ says banking's Michael Jordaan‚ "would be radically transformative".
It's also optimistic‚ as the International Monetary Fund recently forecast SA economic growth to strengthen to 1.5% in 2018 and to 1.7% in 2019.
Harvard's CID report ranks South Africa in 66th place.
India tops the list of the fastest growing economies in the world for the coming decade and is projected to grow at 7.9 per cent annually, ahead of China and the US, according to a Harvard University report.
The Centre for International Development at Harvard University (CID) said in new growth projections on Thursday that countries that have diversified their economies into more complex sectors, like India and Vietnam, are those that will grow the fastest in the coming decade.
Making a compelling case against tariff regimes, renowned Harvard economist Dr. Robert Lawrence yesterday called for a simpler system with significantly lower tariffs in order to increase Sri Lanka’s exports.
Delivering a lecture on protectionism organised by the Advocata Institute in Colombo, Prof. Lawrence, who is the Faculty Chair of the Practice of Trade Policy program at Harvard University’s Kennedy School, said that imposing tariffs is the wrong way to raise revenue, highlighting the need for tax reforms with...
New research shows that the global economy is making a major turn toward rapid economic growth, and will continue trending in that direction over the coming years.
That’s according to the Center for International Development (CID) at Harvard University, which recently released their projections for the fast growing economies in the next decade. After analyzing global trade data from 2015 — the most recently available data — the CID concluded that the global economy trending upward.
Ricardo Hausmann profile in IMF's Finance and Development
In nearly 40 years of navigating government, academia, and international financial institutions, Ricardo Hausmann has been on a quest to discover what makes some countries succeed and others fail. He likes to think of development as a game of Scrabble. “The process of development is really the process of accumulating letters and figuring new words that can be put together. And that’s the arrow of development,” he explains, sitting in his sun-filled office at Harvard’s Kennedy School of Government.