Subscribe

The Economist

Why are Latin American workers so strikingly unproductive?

Latin American workers are among the least productive in the world due to poor education, oligopolies, and a large informal sector. Low investment worsens the region's slow growth. IMF analysis suggests it is the region's low growth that causes low investment.

Latin American workers are among the least productive in the world, according to economists.
Low productivity is caused by a range of factors, including poor education, oligopolies, and a large informal sector.
Weak investment may also be a contributing factor.
Latin America invests just 20% of its regional GDP, compared to 25% for the average emerging market.
The region's slow growth has caused low investment, according to the IMF.

Read next

Charting the Global Economy: Central Banks Hold as Prices Cool

Charting the Global Economy: Central Banks Hold as Prices Cool

Central banks around the world are pausing tightening campaigns as inflation eases and economies slow. Inflation-targeting regimes are keeping their own houses in order, while the US Fed's key inflation gauges fell to the slowest annual paces since late 2021.

Take Five: Strap in for no landing

Take Five: Strap in for no landing

A raft of U.S. data and European inflation numbers will give guidance on how the world's top central banks will navigate the way ahead, including the hotly debated "no landing" scenario. Reports on U.S. durable goods orders, home prices, manufacturing and consumer confidence threaten to cement expec

FirstFT: Microsoft's big bet on AI

FirstFT: Microsoft's big bet on AI

Microsoft has made its biggest bet yet on artificial intelligence with a multibillion-dollar investment in ChatGPT bot maker OpenAI, in a move to transform its business model and products. Find out the latest news on AI, markets and the global economy.