This paper uses two unique panel data sets to study the causal effect that armed conflict has over entrepreneurial activity in Colombia. Using a fixed effect estimation methodology at the plant level and controlling for the possible endogeneity of armed conflict through the use of instrumental...

This paper evaluates transformative policy innovations with respect to security and taxation in the three main Colombian cities: Bogotá, Medellín, and Cali. In the first two, such policies were associated with huge success. Elsewhere we (Gutiérrez et al. 2009) have tagged these transformation...

Between 2000 and 2013, Colombia experienced rapid economic growth. The country suffered a slowdown at the beginning of the period and during the international crisis of 2008, but during both slowdowns, the growth rate never turned negative. Most labour market indicators improved and followed the...

During the 2000s, El Salvador experienced slow economic growth for Latin American standards. The country underwent a recession during the international crisis of 2008, but returned to pre-recession output level in 2011. Changes in labour market conditions were mixed. The unemployment rate fell,...

The city of Medellín, Colombia was a cauldron of violence with 185 homicides per 100,000 people in 2002. By 2006, this rate had declined to 32.5. Such successful transformation was termed the 'Medellín miracle' and credited to policies of the city's mayor, Sergio Fajardo. Fajardo came to...

This paper investigates how armed groups affect the organization of local communities during armed conflict in Colombia. We estimate the effect of communities' exposure to armed groups with an econometric specification that takes into account individual and municipality-year fixed effects and an...

Where does the money come from to buy votes? We argue that an important source of funds for vote-buying comes from 'contract clientelism', or the provision of public contracts to private firms in exchange for campaign donations. Using quantitative data on Colombian infrastructure contracts, we...

As elsewhere, the Colombian private sector has been accused of promoting or profiting from violence in the country. However, the private sector's role in the armed conflict and the impact of conflict on entrepreneurial activity vary, as reflected by differences in political activism, in...

The aim of this paper is to quantify the financial cost that informal workers would incur in the event of entering formality, accounting for potential earnings gains upon entry. To do so, we use representative microdata from Ecuador and Colombia, together with detailed tax - benefit models, and...

This paper investigates the impact of inequality on individual civic engagement at the community level, whether this impact persists over time, and what mechanisms may shape the relationship between inequality and civic engagement. The results show that inequality in Colombia is associated with...