Intro -- Contents -- I. INTRODUCTION -- II. MACROECONOMIC VOLATILITY IN LATIN AMERICA: A HISTORICAL PERSPECTIVE -- III. ROLE OF MACROECONOMIC POLICIES -- IV. WHAT'S NEW THIS TIME AROUND? -- V. REMAINING AGENDA -- VI. CONCLUDING REMARKS -- REFERENCES.

Motivated by insufficient fiscal discipline in democracy, we introduce and examine “Catenarian Discipline Rules”. An office-holder decides in each period whether to use available resources for his/her own personal consumption or for providing public goods for the population. In the unique...