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This paper analyzes the evolution of fear of floating (FOF) and its effect on output in Chile, Colombia and Mexico. It shows that there has been a gradual rise in exchange-rate volatility as the period of floating lengthens in each country. The paper analyzes the implications of this evolution for the behavior of output. It finds that the reduction of FOF has tended to decrease output volatility in Chile. However, the opposite phenomenon has happened in Mexico, while the results for Colombia are ambiguous. [ABSTRACT FROM AUTHOR]

This paper explores whether Colombia's middle class is a cradle of entrepreneurship that drives innovation and business growth and fosters social mobility. Microeconomic data are used to characterize entrepreneurs by income group and business characteristics. While entrepreneurs appear to enjoy more income mobility than the average worker, it is not clear whether this is true for middle-class entrepreneurs in particular or if it is a result of entrepreneurship. Nor is there evidence that middle-class entrepreneurs' activity boosts economic growth. Instead, the findings suggest that businesses run by these entrepreneurs are characterized by low productivity. [ABSTRACT FROM AUTHOR]

In this paper we find empirical evidence of bank lending channel for Colombia and Argentina. For Argentina, we do not find evidence that changes in the interbank interest rate affect the growth rate of total loans directly. However, the interbank interest rate affects the loan supply through its interactions with capitalization and liquidity. For Colombia, there is direct bank lending channel, which is reinforced through interactions with capitalization and liquidity. Also, using a panel data of more than 3,300 firms, we provide additional support to the existence of a bank lending channel for Colombia. [ABSTRACT FROM AUTHOR]