South American Expert Roundtable : increasing adaptive governance capacity for coping with unintended side effects of digital transformation

This paper presents the main messages of a South American expert roundtable (ERT) on the unintended side effects (unseens) of digital transformation. The input of the ERT comprised 39 propositions from 20 experts representing 11 different perspectives. The two-day ERT discussed the main drivers and challenges as well as vulnerabilities or unseens and provided suggestions for: (i) the mechanisms underlying major unseens; (ii) understanding possible ways in which rebound effects of digital transformation may become the subject of overarching research in three main categories of impact: development factors, society, and individuals; and (iii) a set of potential action domains for transdisciplinary follow-up processes, including a case study in Brazil. A content analysis of the propositions and related mechanisms provided insights in the genesis of unseens by identifying 15 interrelated causal mechanisms related to critical issues/concerns. Additionally, a cluster analysis (CLA) was applied to structure the challenges and critical developments in South America. The discussion elaborated the genesis, dynamics, and impacts of (groups of) unseens such as the digital divide (that affects most countries that are not included in the development of digital business, management, production, etc. tools) or the challenge of restructuring small- and medium-sized enterprises (whose service is digitally substituted by digital devices). We identify specific issues and effects (for most South American countries) such as lack of governmental structure, challenging geographical structures (e.g., inclusion in high-performance transmission power), or the digital readiness of (wide parts) of society. One scientific contribution of the paper is related to the presented methodology that provides insights into the phenomena, the causal chains underlying “wanted/positive” and “unwanted/negative” effects, and the processes and mechanisms of societal changes caused by digitalization

Foreign Labor Trends: Brazil

Foreign Labor Trendsbrazil_2002.pdf: 1240 downloads, before Oct. 1, 2020

Can Productive Change and Income Redistribution be Compatible with Global Financial Asymmetries?

The 2000s have brought a renewed debate on strategies of ‘developmentalism’ in emerging market economies, especially in Latin America. We consider new concepts of developmentalism to be strategies in which the state deliberately pushes the process of development, in terms of structural change, and aims at income redistribution. In our paper, we seek to systematize this debate, comparing the concepts of new developmentalism and social developmentalism. We argue that of particular relevance for this discussion are the policy space constraints for emerging market economies imposed by international monetary and financial asymmetries. We conclude that the latter of the two approaches does not consider appropriately the policy constraints related to these asymmetries, which reduce the space for the implementation of developmentalist policies, while the former sees redistribution as a mere result of export-led industrialization

Political Institutions, Policymaking Processes and Policy Outcomes in Brazil

We found that the driving force behind policies in Brazil is the strong set of powers given to the President by the Constitution of 1988. To have strong powers does not mean unbridled powers. Several institutions constrain and check the power of the President, in particular the legislature, the judiciary, the public prosecutors, the auditing office, state governors and the Constitution itself. The electorate of Brazil holds the President accountable for economic growth, inflation and unemployment. Because of the electoral connection, and perhaps reputational effects, presidents in Brazil have a strong incentive to pursue stable fiscal and monetary policies as their first priority. At least for the past ten years, and particularly in the new administration of Lula, executive power has been aimed at pushing policy towards macro orthodoxy. Although orthodoxy may not lead to short-term growth, international financial markets provide additional incentives for discipline, as deviations are instantly punished, with unfavorable consequences that are readily recognized by the electorate. Achieving stable macro policies required constitutional amendments as well as considerable legislation. To attain their goals, the past administrations (Cardoso and Lula in particular) used their property rights over pork to trade for policy changes. The rationale for members of Congress to exchange votes on policy for pork is that the electorates reward or punish members of Congress based on the degree to which pork lands in their district. With the exception of the devaluation of 1999, macro policy has become more stable over time. We categorize macro policies in Brazil as `stable but adaptable. `

Brazilian consumers’ perception towards food labeling models accompanying self-service foods

The study aimed to evaluate consumers’ perception of self-service foods’ nutrition labels. This qualitative and quantitative assessment was performed with potential consumers at food services. Four food labeling formats, traditional, simplified, traffic-light, and warning, were proposed to evaluate three types of sandwiches: simple, chicken, and hamburger. Data were collected via an online survey from April to May 2020. The study included 413 subjects. The respondents preferred the traffic-light format, but there was a good understanding and acceptability of all four models. The traffic-light and warning nutrition labeling models, which showed health warnings, led to a reduction in the choice of the Simple Sandwich and the Hamburger. Most respondents (96.1%, n = 397) agreed that it is necessary to complement the information on food labels with ingredients and the number of calories per serving. Therefore, it is essential to have legislation regulating such issues. Consumers’ choices improved with the increase in the information placed on the products. This research demonstrated that nutrition labels explain what exists currently and that consumers require such information. Thus, food labeling may positively influence consumers’ choices

Brazil and Germany: A 21st-Century Relationship. Opportunities in Trade, Investment and Finance

On the surface, it would seem that Brazil and Germany present many opportunities for fruitful bilateral trade and investment. In terms of comparative advantages, the Brazilian export portfolio tacks heavily towards precisely the raw materials German manufacturers require—and lack domestically. Conversely, German producers specializing in high-end technological and knowledge-based goods could find an expanding consumer base both in the burgeoning Brazilian middle class and in business-to-business trade with Brazilian partners. In terms of investment, Brazil would appear to be a prime destination for surplus German savings. For example, Brazil faces an infrastructure deficit while German firms have achieved particular sophistication in this field. For German firms, investment in this sector in Brazil can offer returns currently unavailable in continental Europe

Labor markets in an era of adjustment : an overview

The authors have written an overview of 19 papers in a symposium devoted to an examination of the interaction between labor markets and adjustment. The purpose of their commentary is to draw general conclusions and policy lessons and to identify areas for further research. The papers include 7 issue papers and 12 country studies (Argentina, Brazil, Bolivia, Chile, Costa Rica, Cote d'Ivoire, Egypt, Ghana, Kenya, Korea, Malaysia, and Thailand). The country studies bring together a wealth of information that will be useful to researchers. The evidence on real wages casts considerable doubt on theoretical concerns about aggregate real wage rigidity and labor market inflexibility as a hinderance to adjustment. Declines in real wages have been dramatic and often far greater than the fall in GDP. For some countries, the declines in real wages may have been large enough to have aggregated demand effects that inhibit recovery. The studies also discuss the consequences of labor market adjustment on income distribution, gender, and human capital. The conclusions here are less clear-cut. The issue papers highlight complexities that point to country-specific answers. While real wage declines will worsen poverty, improvement in the rural-urban terms of trade during adjustment will have the opposite effect. Similarly, while employment shrinkages are likely to affect women adversely, a high female-labor intensity of tradables can serve as a countervailing force.Environmental Economics&Policies,Banks&Banking Reform,Health Economics&Finance,Labor Markets,Economic Theory&Research