GDP growth clashes with the household budget gap
Average statistics mask the severe budgetary constraints faced by households. The true success of a public policy is not measured by the volume of exports, but by the supply chain’s ability to respond to people’s immediate needs in the store.
High levels of informality limit progress toward greater social mobility
In a tin-roofed warehouse in Caaguazú, Rosa wraps up her day using the same calculation she’s used for the past eleven years. She sewed forty-eight school uniforms, collected payment in cash, paid her assistant under the table, and stashed the leftover money in a cookie jar.
The cost of formal employment stifles business productivity
En el taller de metalúrgica en San Lorenzo, un operario llamado Marcos sostiene el mismo puesto desde hace once años. Su salario cubre la canasta básica, pero no alcanza para la capacitación de su hijo de diecisiete ni para un crédito hipotecario. La empresa opera con márgenes estrechos porque el costo total de cada trabajador […]
Dual production structure dampens the actual impact of growth
Despite GDP growth and a decline in poverty to 16 percent, high levels of informal employment (62.5 percent) and low productivity prevent this economic boom from reaching household budgets. The concentrated agro-export model hinders improvements in real income for most households.
Macroeconomic growth does not shift the poverty line
GDP growth is failing to trickle down to household economies. With 62.5% of the workforce in the informal sector and a high concentration of income, 40% of the population remains in a vulnerable situation.
The Challenge of Turning Macroeconomic Figures into Everyday Opportunities
Behind the record-breaking figures for reserves and macroeconomic stability, thousands of families are hoping that the export boom will transform their daily lives. Promoting technical training and streamlining access to local credit will ensure that the benefits of the export boom reach citizens’ pockets.
Argentina's fiscal constraints and the idea of a constitutional lock in Paraguay
This editorial published by the newspaper not only acknowledges the months of work on the issue of “constitutional safeguards for fiscal stability,” but also places a key idea at the center of the regional debate: clear and permanent rules are the best antidote to populist spending.
The low budget deficit is failing to boost public investment
Fiscal stability safeguards the economy, but it is not enough. In this third installment of our series, we analyze how low public investment slows the growth multiplier and prevents fiscal soundness from translating into formal employment.
Why is inflation falling, yet households still aren't feeling the effects?
Los hogares de menores ingresos en Paraguay no perciben el alivio de la baja inflación general del 2,7% debido a que las cifras macroeconómicas del BCP ocultan la realidad de las familias vulnerables. Las familias con menos recursos destinan entre el 55% y 65% de sus ingresos a rubros básicos con precios muy rígidos. Mientras […]
The Bioceanic Route in the Chaco Changes Everything for Our Nation
El Corredor Bioceánico es mucho más que una carretera. Es una oportunidad histórica para nuestra patria. Este tramo de más de 3.200 kilómetros que unirá los puertos brasileños del Atlántico con los chilenos del Pacífico pasa justo por el corazón del Chaco de nuestra nación a través de la Ruta PY15, manifestó el analista económico […]
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