Competition and Development in Latin America and the Caribbean

The Rohatyn Center for Global Affairs program on Global Economics, Development and Political Economy presents “Competition and Development in Latin America and the Caribbean” with Matias Busso.

Latin America and the Caribbean have achieved substantial social and macroeconomic progress, yet growth and productivity remain persistently low. This talk examines how limited market competition—rather than excessive market freedom—constrains the region’s development. It presents evidence that high concentration, regulatory barriers, and weak enforcement allow dominant firms to restrict entry, innovation, and opportunity. The discussion highlights new research on how market power affects firm behavior, employment, and inequality, and outlines how reducing market fragmentation, improving regulation, and strengthening competition policy can raise productivity, expand formal employment, and enhance fiscal capacity—making competition a key driver of sustainable growth.

Matias Busso is a Principal Economist at the Research Department of the Inter-American Development Bank, director of the Network of Inequality and Poverty of LACEA, and an associate editor of Economia -the journal of LACEA. His research uses empirical evidence and theory to inform the design of more effective public policies in areas related to labor, education, productivity and urban economics. His research has been published in leading journals including the American Economic Review, the American Economic Journal: Applied, and The Review of Economics and Statistics.

Organized by Germán Reyes.

In-person event. For more information on the Rohatyn Center for Global Affairs, visit here.