This paper studies optimal second-best corrective regulation, when some agents/activities cannot be perfectly regulated. We show that policy elasticities and Pigouvian wedges are sufficient statistics to characterize the marginal welfare impact of regulatory policies in a large class of...

In a regional and international context of weak growth, high inflation and growing inequality, the countries of Latin America and the Caribbean must focus policies on reactivating, rebuilding and transforming economic and production systems to advance towards low-carbon and high-tech economies...