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1. Seeing the Forest for More than the Trees: A Policy Strategy to Curb Deforestation and Advance Shared Prosperity in the Colombian Amazon

Author:
Timothy Cheston, Patricio Goldstein, Timothy Freeman, Alejandro Rueda-Sanz, and Ricardo Hausmann
Publication Date:
02-2023
Content Type:
Working Paper
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
Does economic prosperity in the Colombian Amazon require sacrificing the forest? This research compendium of a series of studies on the Colombian Amazon finds the answer to this question is no: the perceived trade-off between economic growth and forest protection is a false dichotomy. The drivers of deforestation and prosperity are distinct – as they happen in different places. Deforestation occurs at the agricultural frontier, in destroying some of the world’s most complex biodiversity by some of the least economically complex activities, particularly cattle-ranching. By contrast, the economic drivers in the Amazon are its urban areas often located far from the forest edge, including in non-forested piedmont regions. These cities offer greater economic complexity by accessing a wider range of productive capabilities in higher-income activities with little presence of those activities driving deforestation. Perhaps the most underappreciated facet of life in each of the three Amazonian regions studied, Caquetá, Guaviare, and Putumayo, is that the majority of people live in urban areas. This is a telling fact of economic geography: that even in the remote parts of the Amazon, people want to come together to live in densely populated areas. This corroborates the findings of our global research over the past two decades that prosperity results from expanding the productive capabilities available locally to diversify production to do more, and more complex, activities.
Topic:
Economic Growth, Deforestation, and Green Economy
Political Geography:
Colombia, South America, Latin America, and Amazon Basin

2. Economic Integration of Venezuelan Immigrants in Colombia: A Policy Roadmap

Publication Date:
12-2022
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
This paper studies the formal labor market integration and firm creation of Venezuelan immigrants and refugees in Colombia between late 2019 to late 2021. It applies a novel framework to identify segments of the Colombian economy where Venezuelan immigrants and refugees are lagging behind. When it comes to labor market dynamics, we identify professional services as one of the sectors where Venezuelan workers are not integrating fast enough consistently across different parts of the country, hinting that the recognition of professional credentials might be an important bottleneck to effective integration. As for entrepreneurship, we find that sectors where there are fewer firm creations by foreigners as compared to locals include commerce and service industries all across the nation. This paper is accompanied by a set of downloadable files which list sectors of the economy in each geographic department with poor integration of Venezuelan immigrants both for labor markets and firm creation. These lists are meant to be used by national and local policymakers for further investigation of possible market failures or distortions hindering immigrant integration, given our results.
Topic:
Economics, Labor Issues, Immigration, and Economic Integration
Political Geography:
Colombia, South America, and Venezuela

3. The Ethnic Chapter of Colombia’s Peace Agreement Five Years On: An Independent Assessment

Author:
Helmer Eduardo Quiñones Mendoza
Publication Date:
07-2022
Content Type:
Working Paper
Institution:
Accountability Research Center (ARC), American University
Abstract:
In 2016, the Colombian Peace Agreement included an Ethnic Chapter designed to ensure the representation of and oversight by indigenous and Afro-Colombian social organizations in the implementation process. This recognition of ethnic rights as a cross-cutting agenda set a precedent among international peace-building processes. But failures in the implementation have meant that armed conflict and systematic violence against ethnic peoples and their territories have raged on. In this Accountability Note, Helmer Eduardo Quiñones Mendoza presents an assessment of the implementation of the Ethnic Chapter of the peace agreement. The assessment was carried out by the advisory team to the High-Level Forum with Ethnic Peoples (IEANPE), the main mechanism for monitoring and promoting the Ethnic Chapter, and presented to the Colombian government in 2021. Together with a preface by Armando Wouriyú Valbuena (Secretary of the Ethnic Commission, Technical Secretary of the IEANPE, and distinguished indigenous leader), an introduction by Jonathan Fox (ARC Director), and an afterword by Gimena Sánchez-Garzoli (Washington Office on Latin America), this note assesses implementation against each of the agreement’s six pillars, identifies entry points for improvement, and lays out an agenda for building a new future for Colombia’s ethnic minorities by fully implementing the Ethnic Chapter of the 2016 agreement.
Topic:
Conflict Resolution, Treaties and Agreements, Minorities, Ethnicity, and Peace
Political Geography:
Colombia and South America

4. Drug Policy in Colombia: The Road to a Just Regulation

Author:
Global Commission On Drug Policy
Publication Date:
11-2022
Content Type:
Working Paper
Institution:
Global Commission On Drug Policy
Abstract:
The position paper “Drug Policy in Colombia – The Road to a Just Regulation" presents the dynamics which have maintained Colombia hostage as the longest running, and most evident examples, of failed prohibitionist drug policies. The position paper explores the context leading to the 2016 Peace Agreement, as well as the shifts in political power that resulted in uneven and unsuccessful implementation efforts of the Agreement. It puts forward recommendations to support effective and humane drug policy reforms that enhance peace, health, security and development in Colombia.
Topic:
Security, Development, Diplomacy, Treaties and Agreements, United Nations, Law Enforcement, Regulation, and Drugs
Political Geography:
Colombia and South America

5. El control social en Colombia: Un balance sobre las veedurías ciudadanas

Author:
Mariana Cepeda Villarreal and Luis Gilberto Murillo Urrutia
Publication Date:
01-2022
Content Type:
Working Paper
Institution:
Accountability Research Center (ARC), American University
Abstract:
En Colombia existen diferentes modalidades institucionales para hacer control social dentro de las cuales se encuentran las veedurías ciudadanas, reglamentadas a través de la Ley 805 de 2003. Si bien las veedurías ciudadanas son un mecanismo de participación ampliamente conocido, y pese a haber sido reglamentado hace casi dos décadas, existe poca información sobre las dinámicas de su funcionamiento, impactos alcanzados, y factores que llevan a su éxito. Este documento analiza los límites y potencialidades de las veedurías ciudadanas en Colombia como modalidad o mecanismo de control social, a partir de la revisión del marco institucional que promueve su desarrollo y formalización en el país. Para ilustrar estas dinámicas, también se presenta la experiencia de la Veeduría Tumaco Despierta, iniciativa ciudadana de control social formalmente constituida, cuyo objeto es hacer seguimiento a la implementación del proyecto de agua y saneamiento básico bajo el crédito IBRD 86490 (PID 156239) del Banco Mundial.
Topic:
Accountability, Participation, Oversight, and Civic Engagement
Political Geography:
Colombia and South America

6. International Managerial Skill and Big Colombian Exporting Firms’ Performance, 2006-2014

Author:
Federico Merchan
Publication Date:
06-2022
Content Type:
Working Paper
Institution:
Kiel Institute for the World Economy (IfW)
Abstract:
This paper uses a sample of the biggest private Colombian exporting firms to propose and estimate a two-step methodology for measuring international managerial skill and calculating its impact on firm performance. The first step quantifies the manager’s organizational capital contribution to improvements in Bloom et al.’s (2021) production efficiency (ability to assemble inputs into final goods) and/or quality capacity (skill to make high quality goods) mechanisms, through the median of export unit value regression residuals at firm-year level (multiplying by -1 the price competition products’ residuals). The second step is regression analysis of firm performance. Results indicate that: i) international managerial quality has a significant and robust positive effect on total export value via the intensive margin, ii) exported value elasticity relative to international managerial quality is around 3 times larger than exported value elasticity relative to exogenous global demand shocks, and iii) better managers in the international market do not necessarily upgrade export quality.
Topic:
Economics, Emerging Markets, International Trade and Finance, Exports, Management, and Labor Market
Political Geography:
Colombia and South America

7. The Role of the Diaspora in the Internationalization of the Colombian Economy

Author:
Ljubica Nedelkoska, Andre Assumpcao, Ana Grisanti, Matte Hartog, Julian Hinz, Jessie Lu, Daniela Muhaj, Eric Protzer, Annalee Saxenian, and Ricardo Hausmann
Publication Date:
05-2021
Content Type:
Working Paper
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
We studied the geography as well as the demographic and socio-economic characteristics of 1.7 million members of the global Colombian diaspora (34% of the total estimated Colombian diaspora) using census and survey data from major host countries, and 3.5 million Twitter users located around the world presumed to be of Colombian origin. We also studied the locations and industries of Colombian senior managers and directors outside Colombia, using a global database of over 400 million companies. Moreover, we studied the migration journeys, the diaspora’s attachment to Colombia, the level of diaspora engagement and interest in engaging, the intentions to return back home, the interest in diaspora government policy, and the overall sentiment of the diaspora towards Colombia, through a survey which received 11,500 responses from the diaspora in well over 100 countries in less than two months. We additionally interviewed 12 Colombian transnational entrepreneurs and professionals, to understand what attracts them professionally to Colombia, and what may stand in the way of more diaspora engagement and professional growth.
Topic:
Migration, Diaspora, Economy, and Internationalization
Political Geography:
Colombia and South America

8. Landmines: The Local Effects of Demining

Author:
Mounu Prem, Miguel E. Purroy, and Juan Vargas
Publication Date:
11-2021
Content Type:
Working Paper
Institution:
Empirical Studies of Conflict Project (ESOC)
Abstract:
Anti-personnel landmines are one of the main causes of civilian victimization in conflict-affected areas and a significant obstacle for post-war reconstruction. Demining campaigns are therefore a promising policy instrument to promote long-term development. We argue that the economic and social effects of demining are not unambiguously positive. Demining may have unintended negative consequences if it takes place while conflicts are ongoing, or if they do not lead to full clearance. Using highly disaggregated data on demining operations in Colombia from 2004 to 2019, and exploiting the staggered fashion of demining activity, we find that post-conflict humanitarian demining generates economic growth (measured with nighttime light density) and increases students’ performance in test scores. In contrast, economic activity does not react to post-conflict demining events carried out during military operations, and it decreases if demining takes place while the conflict is ongoing. Rather, demining events that result from military operations are more likely to exacerbate extractive activities.
Topic:
Conflict Resolution, Civilians, Landmines, Armed Conflict, and Post-Conflict
Political Geography:
Colombia

9. New Avenues for Colombia’s Internationalization: Trade in Tasks

Author:
Ricardo Hausmann and Sebastian Bustos
Publication Date:
12-2021
Content Type:
Working Paper
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
One of the consequences of COVID-19 is the recognition that many tasks can be done from home. But anything that can done remotely, can be done from abroad. Given large salary differences between white collar workers across countries, it would make sense for value chains to try to exploit them. This opens an opportunity for Colombia to further promote its integration into the world global value chains and access new markets. This paper explores the possibility of exporting teleworkable services from Colombia. The goal is to provide useful information to guide strategic interventions to speed-up the development of such service industries in Colombia. We first introduce a definition of teleworkable jobs and describe its occupations and industries along different dimensions. We show that there are many teleworkable jobs in the US, representing a significant share of industry costs. Then, we show that many industries intensive in teleworkable jobs are currently traded across borders. To quantify Colombia’s advantage providing teleworkable services, we study the cost structure of industries and quantify the potential savings in overall costs if the tasks were performed by Colombians. Given Colombia’s current presence and the density around teleworkable industries we can calculate a proxy of the latent advantage in teleworkable services. We propose an index that summarize these dimensions and rank the potential gains from including telework from Colombia in an industry. We end with a set of policy recommendations to move this agenda forward.
Topic:
Human Capital, COVID-19, Labor Market, Skills, and Telework
Political Geography:
Colombia, South America, and Latin America

10. Exports “Brother-boost”: The Tradecreation and Skill-upgrading Effect of Venezuelan Forced Migration on Colombian Manufacturing firms

Author:
Carlo Lombardo and Leonardo Penaloza-Pacheco
Publication Date:
06-2021
Content Type:
Working Paper
Institution:
Center for Distributive, Labor and Social Studies (CEDLAS)
Abstract:
This paper studies the impact of a massive skilled labor supply shock on Colombian manufacturing firms’ exports, the Venezuelan exodus. We exploit crosssectional and time variability of Venezuelan forced migrants’ settlements in Colombian sub-national areas through an enclave instrumental variables approach to account for the selection of immigrants’ location. Using yearly customs data from 2013 to 2019, we find that the Venezuelan migration improved Colombian manufacturing firms’ export performance, particularly to high-income countries of the OECD located in North America and low-income countries. This effect was stronger for firms that exported less prior to the exodus (2012). Furthermore, using a detailed yearly panel of manufacturing firms from 2013 to 2019 we identify the potential labor market driving mechanism of the trade-creation effect: immigrants lowered exporting firms’ blue-collar wages, and allowed them to upgrade their labor force skill composition, namely firms were able to hire workers more compatible with exports to developed destinations.
Topic:
Manufacturing, Trade, Skills, and Forced Migration
Political Geography:
Colombia, South America, and Venezuela