This book explains how Latin American countries consolidate economic governance after serious disruptions to their formal and informal policy making routines. It asserts that the process of institutional change that started as a result of such disruptions resulted in complementary institutions,...

If the effects of institutional reforms are long-term and unpredictable, why do leaders undertake them? We analyze reforms where the incentives of agents pursuing a change, and the effects of that change, are highly asymmetric in time and policy dimensions. We examine detailed evidence from...