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Latin America and the Knowledge Revolution

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  1. Latin America and the Knowledge Revolution John Barham - Editor LatinFinance

  2. César Milstein • Born in Argentina and died in the UK in 2002 • He was the first and so far only Latin American to win a Nobel Prize for science, specifically for physiology. His research career was devoted to studying the structure of antibodies and the mechanism by which antibody diversity is generated. It was as part of this quest that in 1975 he developed the hybridoma technique for the production of monoclonal antibodies. This discovery was recognized by the award of the 1984 Nobel Prize for Physiology or Medicine.

  3. Knowledge-based industries are the key to future growth

  4. Latin America is scarcely participating in the Knowledge Revolution

  5. Latin America’s lead over Asia is narrowing because:

  6. The Knowledge GapPatents filed per year

  7. Low-Tech Latin AmericaHigh-technology exports as % of manufactured exports

  8. Diverging PathsGross capital formation as % of GDP

  9. Latin America is falling further behind the developed world because:

  10. Transparency International Corruption Perceptions Index world

  11. Transparency International Corruption Perceptions Index world

  12. Transparency International & Global Competitiveness Index

  13. IFC Ease of doing business ranking 2005

  14. The Good News • It’s never too late to start catching up • Latin America is well-positioned to make up for lost time

  15. Civil Liberties

  16. Economic Freedom

  17. Making the GradeCountries ranked by education index scores

  18. Some countries are aware of the problem and are groping for solutions

  19. COSTA RICA • Intel chip plant • Culture of entrepreneurship • Influence of INCAE business school

  20. CHILE • Education national priority • English as second language for all • Open economy & financial system • Beginnings of a venture capital culture

  21. BRAZIL • Invests heavily in education   • Culture of entrepreneurship   • Capital markets • Venture capital & private equity industry   • Support from federal & state agencies • Elite universities

  22. ROADMAP Six broad policy initiatives to invigorate knowledge-based sectors and deliver accelerated growth

  23. ECONOMIC POLICYDeregulate and liberalize Competition drives innovation India 1991

  24. EDUCATIONImprove quality of education Create science and math facultiesEnglish as second language

  25. ROLE OF STATEExpand connectivityDevelop capital marketsLong term planning

  26. CULTURAL VALUES Education Entrepreneurship and risk-taking New heroes: Sean Fanning, Blake Ross

  27. PATIENCE Policy continuity and consistency

  28. AMBITIONLatin America has become too used to mediocrity

  29. John BarhamEditor in ChiefLatinFinance www.latinfinance.com