Honduras Recent strongEconomicstrong Performance.pdf

Honduras Recent strongEconomicstrong Performance.pdf

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Honduras: Recent Economic Performance Jose Antonio Cordero November 2009 Center for Economic and Policy Research 1611 Connecticut Avenue, NW, Suite 400 Washington, D.C. 20009 202-293-5380 CEPR Honduras: Recent Economic Performance i Contents Executive Summary 1 Introduction 3 General Information: Some Macroeconomic Indicators 4 Production and Growth Price Stability 8 Monetary and Fiscal Policy 9 The Foreign Sector11 Poverty, Social and Political Conflict, and the Need for Reforms 16 Minimum Wage Reform17 Other Reforms19 The Current Situation20 Conclusion 21 References22 About the Author Jose A. Cordero is a Senior Economist at the Center for Economic and Policy Research in Washington, DC. Acknowledgements The author thanks Jake Johnston for research assistance and Mark Weisbrot and Rebecca Ray for helpful comments. CEPR Honduras: Recent Economic Performance 1 Executive Summary Honduras is the third poorest country in Latin America, ahead of only Nicaragua and Guyana. It has a long history of political and economic instability, which had finally been brought under control by the end of

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