Mexico and Brazil have a lot in common. They are the two largest Latin American countries and the continent's main emerging markets. A big difference, however, is that Mexico collects 13 per cent of its GDP in taxes, compared with Brazil's 21 per cent, a figure that hits a record 36 per cent...

Using two standard cycle methodologies (classical and deviation cycle) and a comprehensive sample of 83 countries worldwide, including all developing regions, we show that the Latin American and Caribbean cycle exhibits two distinctive features. First, and most important, its expansion...