Research Library

Brazilian President Dilma Rousseff is starting her second term in office facing economic and political problems that feed into each other. These problems can be attributed to a large extent to mistakes her administration made during her first term. Rousseff’s macroeconomic policy proved to be inconsistent, and the choices she made in some key economic sectors, especially energy, were demonstrably disastrous. Rousseff now faces the enormous challenge of reconciling the leftwing populism that led her to victory with the inescapable need to regain the trust of the most dynamic sectors of Brazilian society, including the private sector.

South America is likely facing a "second wave" of Chinese investment. How will China's rise to global economic power — and its transition to a new economic growth model — impact South America?

The decade 2003-2013 was an exceptional one for Latin America in social terms, but less clearly so in economic terms. Growth slowed down significantly after the exceptional factors that fed the 2003-2007 boom came to an end. The possible unwinding of the super-cycle in commodity prices and, to a lesser extent, of the expansionary monetary policy of the United States, has added new challenges. But the major issue is the need to overcome the poor long-term economic performance that has characterized the region in the post-market reforms period, particularly by adopting active production sector development strategies.

As the United States once again ramps up involvement in Iraq, it makes sense to examine U.S. interests and strategy while considering what might constitute realistic parameters for participation and outcome. In this issue brief, energy fellow Jim Krane explores answers to the question "What are U.S. interests in Iraq and how are they best pursued?"

With the recent approval of Mexico's energy reform and the current enthusiasm of South American governments to attract foreign investment in oil, one might be tempted to conclude that the tide of resource nationalism is receding in the region. Nevertheless, the cycles of investment and expropriation that have characterized the oil sector in Latin America are unlikely to go away.

This issue brief proposes a framework for awarding bids in a public tender for exploration blocks. The context for the proposal is Mexico’s energy reform of 2013-2014.

This issue brief examines the signals conveyed by Mexico's 2014 energy reforms, and analyzes the limitations in law, institutional design and policy that may delay, if not derail, the reforms' success.

Energy regulation under Mexico's energy-sector reforms are of great interest to investors, since autonomous regulators—protected from political pressures and able to make and sustain technical decisions—can guarantee greater legal consistency than government authorities exposed to political pressures. The difficulty was finding an alternative model that ensured the institutional strengthening of the agencies without relinquishing too much control of the executive branch.

Mexico’s 2013–2014 energy reform promises to bring the country’s economic drivers and regulatory institutions in line with the global practices of free market democracies. If successful, this development would be a 180-degree turn. The accomplishment of such realignment is hardly assured, however.