This paper addresses the issue of conflicts between countries who share a renewable natural resource using a two-level framework. Contrary to the usual modeling of countries as representative agents who sign an international treaty to protect the resource that they share, this research considers the existence of some interaction between different sort of consumers and firms within each country. It discusses the influence of both domestic characteristics (consumers´ preferences and firms´costs) and the presence of some national environmental policy on the resulting regional agreement.

En épocas recientes se han ido produciendo cambios de importancia en los mercados de trabajo y en las relaciones laborales prevalecientes en los mismos. Estos cambios, que se han puesto en evidencia a partir de los años ochenta, han sido principalmente consecuencia de profundas transformaciones estructurales de la economía, de innovaciones técnicas de características singulares e inéditas1 y de cambios en la estructura, composición y niveles educativos de la fuerza de trabajo.

 En este ensayo argumentamos que la Argentina experimentaria en el proximo cuarto de siglo una acelerada convergencia en la vanguardia econdmica mundial. Esta percepcion descansa sobre tres pilares: la impresion histérica del tercer punto de inflexion, la tesis del riesgo-pais y el principio de la convergencia. Presentamos la trayectoria de nuestro ingreso per capita relativo a fin de ilustrar las fases de convergencia y divergencia que ha transitado el pais desde 1875.

 En este ensayo partimos de la hipotesis de que el gran disparador del ciclo econdmico cn un pais pequeiio y abierto al movimiento intemacional de capitales cs la prima de riesgo-pais.

In this paper we are concerned with the existence of a dynamic arbitrage gap that evolves out of an adjustment process for disequilibrium prices, within a complex dynamics framework which takes into account the market microstructure and transactions costs. Although this gap exhibits non linear and chaotic behavior, it doesn’t preclude effective arbitrage transactions from taking place in real markets. Moreover, it may explain much better those factors which usually impede actual perfect arbitrage.

It is an honor for me to be asked to present the closing address at this conference, which celebrates 20 years of achievement by those involved in CEMA's research and teaching activities. Starting from a tabula rasa, СЕМА has become a leading contributor in both these dimensions, and has solidified its position in the vanguard of the great campaign to bring good economics to Latin America.

 This paper considers the financing of investment in the presence of asymmetric information between the “insiders” and the “outsiders” of the firms in a small open economy. It establishes a well-defined capital structure for the economy as a whole with the following features: low- productivity firms rely on the equity market to finance investment at a relatively low level; medium-productivity firms do not invest at all; and high-productivity firms rely on the debt market to finance investment at a relatively high level.

In the presence of asymmetric information, the stage at which financing decisions are made about investment projects in a small open economy is crucial for the composition of international capital inflows as well as for the efficiency of channeling savings into investment.  This paper compares the implications of two extreme cases regarding the information possessed by the firms at their financing stage for whether inflows of foreign debt may crowd out foreign equity or the other way round.  The scope for corrective tax policies is examined.

In this paper, we focus on the tails of the unconditional distribution of latin American emerging markets stock returns. We explore their implications for portfolio diversification according to the safety first principle,  first proposed by Roy (1952). We find that the Latin American emerging markets have significantly fatter tails than industrial markets, especially, the lower tail of the distribution. We consider the implication of the safety first principle for a U.S. investor who creates a diversified portfolio using Latin America stock markets. We find that a U.S.

La hipótesis de racionalidad es central en teoría económica actual, y sirve de hilo unificador en la historia del análisis económico. Se ha extendido a otras ciencias sociales bajo el enfoque de decisión racional. Se puede distinguir entre racionalidad en sentido limitado (maximización de beneficio), y racionalidad en sentido amplio (optimización). El significado de la racionalidad individual se reexamina explorando las implicancias psicológicas de la racionalidad: la racionalidad se puede ver como inteligencia analítica más madurez emocional.