ABOUT US Who we are and how we work
In late 2011, Andrónico Luksic, a Chilean businessman, invited professor Klaus Schmidt-Hebbel to form a working group to think about Chile’s broad development challenges and develop reform proposals on a wide range of public policies. Thus Grupo Res Publica Chile (GRPC) was born, with personal financial support provided by Mr. Luksic and coordination by Schmidt-Hebbel. GRPC worked with full independence from the financial provider, who learned about the group's proposals, jointly with the general public, at the time of their release. The purpose of GRPC was to think about our country, identifying its major challenges and weaknesses in the light of a technical and political diagnosis and, fundamentally, preparing proposals for reforms that contribute to the ultimate goal of a better Chile. This book is the result of our work and presents 95 proposals related to our political, economic, and social reality. Our aim is that our ideas contribute to the public discussion required to drive the reforms that our country requires to be more broadly developed, more socially inclusive, more politically stable, and better represented, and with happier individuals and communities. Grupo Res Publica Chile hopes to contribute to broad agreements that will allow Chile to move along this path. To that end, Grupo Res Publica Chile convened a group of professionals of diverse political standings and expertise. GRPC certainly does not reflect the wide range
of positions and viewpoints of all Chileans. But its members represent different technical, value-based, and political views about Chile’s challenges, its priorities, and the ways to address them. The group’s diversity has contributed to the significance of the analysis and discussion, reflected by the 95 proposals presented in this volume. Although the proposals presented in the chapters are signed by individual authors, they were revised and refined over fifteen months of weekly plenary meetings of GRPC. Diagnoses and policy proposals were intensely discussed to collect critiques, suggestions, and contributions of all members of our Group. Therefore, while the proposals represent the views of each chapter’s authors, they reflect collective inputs to the widest possible extent. Close to one hundred top-level experts, politicians, parliamentarians, government officials, and academics were also involved at the different stages of the project. We are very grateful for their valuable contribution. Their names are listed below. In particular, we thank Fernando Flores for his contribution to the discussion and analysis of proposals and diagnoses, and Rodrigo Terré for his assistance in the project’s management. We are also grateful for event management and consulting provided by María de los Angeles Ferrer throughout the project. Our work started in late 2011 with an overall diagnosis of Chile’s challenges, for which both GRPC members and outside experts presented their views. Then we se-
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95 propuestas para un Chile mejor
lected eighteen policy themes, which correspond to the chapters of this book, structured around four thematic areas. While our selection is extensive, it represents a still limited set of themes, which omits several key policy topics that should be addressed to make Chile a better country. In the introduction we present the most important thematic omissions. Our next step was to select the authors responsible for each policy theme, who presented their progress in developing policy proposals to the full group on four occasions. First, background analysis and evidence was shared and challenges were identified; second, policy alternatives were analyzed; third, preliminary proposals were examined; and finally, revised proposals were subjected to a last scrutiny. In these rounds of intense group discussion, many proposals were put forward and rejected, while those that remained were significantly improved by the critical analysis of group members. During the third and fourth rounds of presentations we also invited groups of experts to discuss our preliminary proposals. In addition, from the start of our work we commissioned background analysis and research prepared by experts on a range of different subjects. In the last project stage, authors wrote their chapters, which, as aforesaid, received comments, suggestions, and objections from each and every member of GRPC, until the final chapter versions published in this book.
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18
95 propuestas para un Chile mejor
From left to right: Jorge Quiroz, Vicente Espinoza, Eugenio Guzmán, Klaus Schmidt-Hebbel, Cristián del Campo, SJ, Andrea Repetto y Juan Andrés Fontaine. Sitting from left to right: Andrea Tokman, Nicolás Figueroa, Francisco Gallego y Alejandro Ferreiro. Not in picture: Dante Contreras 19
Members of GRPC Dante Contreras G.
Economist (Universidad de Chile) and PhD in Economics (University of California at Los Angeles). Professor and Director of the Department of Economics at Universidad de Chile. He was Executive Director of the World Bank, officer of the United Nations Program for Development and member of presidential advisory committees on education, and on labor and equity.
Cristián del Campo S., SJ
Jesuit Priest, Business Administrator, and Bachelor in Theology (Universidad Católica de Chile), MBA and Sacred Theology Licentiate (Boston College). Chaplain and chairman of the board of Un Techo para Chile Foundation, founder and board member of Trascender Foundation, board member of Universidad Alberto Hurtado and of the Presidential Advisory Committee of Experts for Updating the Poverty Line and Extreme Poverty.
Vicente Espinoza E.
Sociologist (Universidad Católica de Chile) and PhD in Sociology (University of Toronto). Professor at Universidad de Santiago and senior researcher at its Institute of Advanced Studies (IDEA). His most important publications include "Para una historia de los pobres de la ciudad", "Redes sociales: Enfoques y aplicaciones, and Militantes jóvenes en partidos políticos", and "Estudio de una elite emergente".
Alejandro Ferreiro Y.
Attorney at law (Universidad de Chile) and M.A. in studies related to World Peace and Conflict Resolution (University of Notre Dame). Chairman of the Council for Transparency and director of corporations and foundations. He has been Minister of economics, Superintendent of Isapres, Superintendent of Electricity and Fuels, Superintendent of Pension Fund Administrators, Superintendent of Securities and Insurance, Chairman of the Risk Rating Commission, and member of the Antitrust Resolutory Commission. He has also been member of the Consortium for State Reform, member of the Presidential Advisory Commission on Pension Reform, executive secretary to the National Public Ethics Commission and adviser to the Ministry General Secretariat of the Presidency.
Nicolás Figueroa G.
Mathematical Civil Engineer (Universidad de Chile) and Ph.D. in Economics (University of Minnesota). He is assistant professor at the Institute of Economics of Universidad Católica de Chile.
Juan Andrés Fontaine T.
Economist and B.A. in Economics (Universidad Católica de Chile), and M.A. and doctoral studies in Economics (University of Chicago). He is counselor of Libertad y Desarrollo, an economic adviser to several companies through Fontaine Consultores S.A., director of corporations and associate professor at Universidad Católica de Chile. He has been Minister of economics, Chief Economist at the Central Bank, and economic advisor to several candidates to the presidency of Chile.
Osvaldo Larrañaga Jiménez was a member of Grupo Res Publica Chile from its beginning to March 2013. GRPC is grateful for his valuable contribution to the work and proposals prepared by the group.
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95 propuestas para un Chile mejor
Francisco Gallego Y.
Economist (Catholic University of Chile) and Ph.D. in Economics (Massachusetts Institute of Technology). He is associate professor at the Institute of Economics, director and research affiliate of the EH-ClioLab of Universidad Católica de Chile. He is also scientific director and research affiliate of the office for Latin America and the Caribbean of the Abdul Latif Jameel Poverty Action Lab (J-PAL).
Eugenio Guzmán A.
Bachelor in Sociology (Universidad de Chile) and M.S. in Sociology (London School of Economics and Political Science). He is Dean of the Faculty of Government of Universidad del Desarrollo, President and founding member of Sociedad Chilena de Políticas Públicas (Chilean Society for Public Policy), member of the Innovation Circle of ICARE, board member and founding member of Ciencia y Evolución Foundation, counselor to Libertad y Desarrollo and member of the Advisory Board of Chile Transparente. He was a member of presidential advisory commissions on Ethics and Public Integrity, and for the Strengthening of Civil Society, and of the Commission for Modernization of the Ministry of Foreign Affairs.
Jorge Quiroz C.
Economist (Universidad de Chile) and Ph.D. in Economics (Duke University). He is senior partner of Quiroz & Asociados and director of corporations. He has advised many companies on issues of negotiation, arbitration and economic disputes. He was a member of the Advisory Commission for Electricity Development (CADE).
Andrea Repetto L.
Economist (Universidad Católica de Chile) and Ph.D. in Economics (Massachusetts Institute of Technology). She is a professor at the School of Government and Director of the Center for Labor Policy of Universidad Adolfo Ibáñez, director-elect of the Latin American and Caribbean Economic Association (LACEA), and member of the Standing Committee of the Latin American Chapter of the Econometric Society. She has been part of the Panel of Experts on Ethical Family Income and a member of presidential advisory committees on Pension Reform, Work and Equity, and Updating the Poverty Line and Extreme Poverty.
Klaus Schmidt-Hebbel D.
Economist (Universidad Católica de Chile) and Ph.D. in Economics (Massachusetts Institute of Technology. He is full professor at the Institute of Economics of Universidad Católica de Chile, associate professor at Universidad de Chile, chairman of the Financial Advisory Committee on Chile’s Sovereign Funds of the Ministry of Finance, international consultant and director of corporations. He has been Chief Economist and Director of the OECD Economics Department, economic research manager of the Central Bank of Chile, and principal economist at the World Bank Research Department.
Andrea Tokman R.
Economist (Universidad Católica de Chile) and Ph.D. in Economics (University of California at Berkeley). She was senior economist at Economic Research Department and advisor to the Governor of the Central Bank of Chile, a member of the National Commission in Charge of Investigating the Existence of Price Distortions in the Price of Imported Goods, a member of the Committee on Women, Work and Motherhood, and researcher at CIEPLAN and Expansiva-Universidad Diego Portales Public Policy Institute.
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From left to right: Rodrigo Carril Mac Donald, Klaus Schmidt-Hebbel Dunker, Andrea Tokman Ramos, Antonio Martner Sota.
Grupo Res Publica Chile staff Klaus Schmidt-Hebbel Dunker General Coordinator
Andrea Tokman Ramos Executive Director
Rodrigo Carril Mac Donald
Economist and Master in Economics (Universidad Cat贸lica de Chile). Researcher at GRPC from December 2011 to May 2013.
Antonio Martner Sota
B.A. in Economics (Universidad Carlos III, Madrid) and Master in Economics (Barcelona Graduate School of Economics). Researcher at GRPC from October 2012 to May 2013. He was an economist and portfolio manager at the Fiscal Agency Department of the Central Bank of Chile.
Carolina Salazar Escobedo
Industrial Civil Engineer (Universidad de Chile). Researcher at GRPC from November 2011 to September 2012. She is now a member of the research team of Fundaci贸n Chile. She has served as a researcher at Universidad Diego Portales and as a research manager at Instituto Sistemas Complejos de Ingenier铆a. Web page This book is available on the website of GRPC, www.95propuestas.cl. Digital versions of the full book or separately by chapters can be downloaded from the web page, where also the commissioned background studies and supplementary material quoted in this book can be found.
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95 propuestas para un Chile mejor
Guests and contributors A E I Y
Author of a background study commissioned by Grupo Res Publica Chile Expert consulted Invited to deliver a presentation at a plenary meeting Background study assistant
Name
Current membership or position
Contribution
Juan Domingo Acosta
Attorney at law, partner of Acosta & Cía.
Claudio Agostini
Economist, academic of Universidad Adolfo Ibáñez
Rodrigo Aldoney
Attorney at law, associate of Puga Ortiz
Pablo Allard
Architect & urban planner, Dean of the Faculty of Architecture and Arts of Universidad del Desarrollo
E
Claudia Allende
Economist of the Free Competition Defense Court (TDLC)
Y
Patricio Aroca
Economist, profesor of Universidad Católica del Norte
E
Raimundo Atal
Economist, professor of Universidad Católica de Chile
E
Paula Bedregal
Medical Doctor, profesor of Universidad Católica de Chile
A
Isabel Brain
Sociologist, Master in Public Administration (MPA), student at Harvard University
A
Florencia Burgos
Journalist, Director of Communication and Innovation at PROhumana Foundation
E
Rómulo Chumacero
Economist, professor of Universidad de Chile
I
Enrique Correa
Philosopher, consultant, Chairman of the Board of Imaginacción
I
Rafael de la Cruz
Economist, IDB representative in Colombia
E
Cristóbal de la Maza
Engineer, Head of the Department of Studies of the Ministry of the Environment
E
Sergio del Campo
Business Administrator, Undersecretary of Energy
E
Francisco del Río
Attorney at law, legislative counsel in labor matters
A
Rodrigo Echecopar
Vice-president of the Federation of Students of Universidad Católica 2012
I
Sebastián Edwards
Economist, professor of the University of California, Los Angeles (UCLA)
I
Camilo Escalona
Senator (Socialist Party), Región de Los Lagos
E
A, E E A, E
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Name
Current membership or position
Eduardo Escalona
Attorney at law, Philippi, Yrarrázaval, Pulido & Brunner
A
Mauricio Fabry
Veterinarian, Director of the Metropolitan Park of Santiago
E
Ronald Fischer
Economist, professor of Universidad de Chile
E
Vinko Fodic
Attorney at law, Head of the Division of Territorial Prevention and Management of the Crime Prevention Undersecretariat
E
Rodrigo Fuentes
Economist, profesor of Universidad Católica
A
Pablo González
Economist, Coordinator of the UNDP Human Development Report
I
Carol Graham
Economist, researcher at Brookings Institution
I
Pedro Güell
Sociologist, team member, UNDP Human Development Report area
I
Rafael Guilisasti
Bachelor of History, Vice-President of Viña Concha y Toro
E
Rodrigo Harrison
Economist, professor of Universidad Católica de Chile
E
Camilo Herrera
Administrator, Executive Director of Caserta Foundation
E
Paulina Henoch
Economist, researcher at Libertad y Desarrollo
E
Marcela Huepe
Ph.D. (Economics) student at Universidad Católica de Chile
A
Andrés Iacobelli
Engineer, Manager of Proes S.A.
E
Augusto Iglesias
Economist, Undersecretary of Social Welfare
E
Manuel Inostroza
Medical Doctor, professor of Universidad Andrés Bello
A
Ricardo Irarrázabal
Attorney at law, Undersecretary of the Environment
E
Francisco Irarrázaval
Engineer, Undersecretary of Housing and Urban Development
E
Ricardo Katz
Engineer, Managing Director of Gestión Ambiental Consultantes (GAC)
E
Francisco Klapp
Economist, researcher of Libertad y Desarrollo
A
Luis Felipe Lagos
Economist, Director of the Economic Program of Libertad y Desarrollo
A
Víctor Lagos
Manager of Protected Wilderness Areas of CONAF
E
Hernán Larraín
Attorney at law, Senator (Unión Demócrata Independiente), Séptima Region del Bío-Bío
E
Rodrigo Lazo
Attorney at law, Executive Director of Fiscalía Privada
E
Cristóbal Lira
Business Administrator, Undersecretary of Crime Prevention
E
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Contribution
95 propuestas para un Chile mejor
Name
Current membership or position
Contribution
Norman Loayza
Senior Economist at the Research Department of the World Bank
A
Juan Pablo Luna
Political scientist, professor of Universidad Católica de Chile
A
Rodrigo Márquez
Sociologist, team member, UNDP Human Development Report
I
Luis Antonio Masferrer
Attorney at law, National Director of Gendarmería de Chile
E
Jean Pierre Matus
Attorney at law, professor of Universidad de Chile
A, E
Gordon McCord
Economist, Director of Economic Policy at the Center on Globalization and Sustainable Development
I
Marcelo Mena
Engineer, Director of the Sustainability Center of Universidad Andrés Bello
E
Roberto Méndez
Business Administrator, Director of Adimark GfK
I
Catalina Mertz
Economist, Manager of Innovation & Development of Paz Ciudadana Foundation
Juan Pablo Montero
Economist, professor of Universidad Católica de Chile
A
Pedro Montt
Teacher, member of the National Education Council
A
Pía Mora
Sociologist, coordinator of ProUrbana at the UC Center of Public Policy
E
Carolina Muñoz
Responsible for the CONAF volunteer program
E
Ulises Nancuante
Attorney at law, professor of Universidad Andrés Bello
A
Nicole Nehme
Attorney at law, partner of Ferrada Nehme
E
Fernando Nilo
Founder and General Manager of Recycla Chile
E
Roberto Peralta
Attorney at law of Comunidad de Organizaciones Solidarias
E
Patricia Pérez
Attorney at law, Minister of Justice
E
Julio Poblete
Architect and urban planner, President of Mi Parque Foundation
E
Iván Poduje
Architect and urban planner, partner of Atisba
José Roa
Attorney at law, professor of Universidad de Chile
A
Jorge Rodríguez
Economist, researcher at Cieplan
E
Paulina Saball
Director of Servicio País
E
Jeffrey Sachs
Economist, professor and Director of the Earth Institute, Columbia University
I
A, E
A, E
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Name
Current membership or position
Sandra Sepúlveda
Social Worker, National Director of the Social Project Area of Techo Chile
E
Claudia Serrano
Sociologist, Executive Director of RIMISP-Centro Latinoamericano para el Desarrollo Rural (Latin American Center for Rural Development)
E
Felipe Symmes
Business Administrator, Consultant
Y
Soledad Teixidó
Educator, Chief Executive of PROhumana Foundation
E
Noam Titelman
President of the Federation of Students of Universidad Católica 2012
I
Mónica Titze
Engineer, Advisor to the Undersecretariat of Social Welfare
E
Marcelo Tokman
Economist, director of companies
E
Ignacio Toro
Engineer, Executive Director of the Environmental Assessment Service (SEA)
E
Jaime Torrealba
Accountant & Auditor, Chief of Staff of the Undersecretary of Regional Development (SUBDERE)
E
Victoria Uranga
Journalist, coordinator of the Knowledge Management Section at UNESCO
E
Mario Valdivia
Economist, director of Podcaster S.A.
A
Javiera Vásquez
Economist, researcher of the Microdata Center of Universidad de Chile
Y
Andrés Velasco
Economist, presidential candidate
I
Enrique Vergara
Attorney at law, Incumbent Justice of the Free Competition Defense Court
E
Heinrich von Baer
Veterinarian, professor of Universidad de La Frontera
A, E
Jeannette von Wolfersdorff
Business Administrator, Director of Contexto Ciudadano Foundation
E
Ignacio Walker
Attorney at law and political scientist, Senator (Democracia Cristina), Quinta Región de Valparaíso
I
María Angélica Zegers
Attorney at law, Director of Más por Chil” of the Ministry of Development
E
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Contribution
95 propuestas para un Chile mejor