In the last decade the issue of the optimal degree of central bank independence has been at the center of attention of academics and policymakers in many countries. The direction of institutional reform has almost universally been toward making central banks more independent from political...

Using the 2003 and 2008 Quality of Life Surveys, we identify the factors that affect housing tenure decisions in Colombia and explore the determinants of the demand for rentals and purchases. Variables affecting the choice between buying and renting include civil status, education, age of the...

Introduction. At the end of the 1980s Colombia confronted a situation of low growth and an unsettled domestic security situation. In order to address these issues, a comprehensive reform effort was undertaken starting in 1990. The reform agenda comprised market-driven reforms aimed at enhancing...

This study examines how depositors choose among different banks and over time in Colombia, focusing on whether they discipline bank behavior. By controlling for a more comprehensive set of risk/return factors, the study improves upon conventional market discipline tests. Panel data estimations...

Tax incentives have traditionally been used as a tool by public policy makers in order to correct or reduce market failures. However, there is a widespread debate, in the international literature, about whether they can or not reaching this goal. In this paper, we propose a methodology to assess...

The fiscal situation in Colombia has been deteriorating over recent years, as seen in various fiscal indicators. Among the policy actions that can be made to avoid making the situation worse, is the increase of tax collections and thus generate an increase in revenue for the nation. Using a...

This paper deals with three aspects related to the value added tax in Colombia. First, we show that althogh the VAT's "productivity" is at an acceptable level according to international standards, it has recently been declining. Second, we estimate tax evasion/elusion for 1994. Our results...

This Working Paper assesses the impact on investment of a reduction in corporate taxes and the impact on employment, labor formality, and growth of a reduction in non-wage labor costs in Colombia. First, and following Hall and Jorgensen (1967), we estimate an investment function, which depends...