Central America and the pandemic: macroeconomic policy challenges1 Juan Carlos Moreno Brid and Rodrigo Alfonso Morales López
Abstract This article has a twofold purpose: to describe the social and economic situation in the countries of the Central American subregion prior to the coronavirus disease (COVID-19) pandemic and to provide a comparative analysis of the macroeconomic policies introduced by the governments of these countries in response to this health crisis. As a central part of that analysis, it looks at the main structural policy challenges for the enhancement of social protection and reactivation of production activity and employment to be met by these countries during and after the pandemic. The need for a national compact around a new development agenda is explored, with special emphasis on external elements that should be coupled with national policies, such as regional coordination, international cooperation and finance, and a restructuring of financial and lending institutions.
Keywords COVID-19, virus, epidemics, economic aspects, macroeconomics, fiscal policy, monetary policy, gross domestic product, exports, tourism, remittances, poverty, regional cooperation, economic development, Central America JEL classification E52, E60, E62, H60 Authors Juan Carlos Moreno Brid is a professor in the School of Economics of the Universidad Nacional Autónoma de México (UNAM). E-mail: juancarlosmorenobrid@gmail.com. Rodrigo Alfonso Morales López is a postdoctoral researcher with the School of Economics of the Universidad Nacional Autónoma de México (UNAM). E-mail: ramorales88@gmail.com. 1
The authors wish to thank Abraham Pazos Rodríguez, Research Assistant, for his valuable contributions.
