Dissecting Economic Growth in Uruguay

Abstract

Uruguay experienced one of its biggest economic booms in history during 2004-2014.Since then, growth has come down significantly. The paper investigates the various causesof the boom and discusses the sustainability of these causes. It then compares Uruguayagainst high-growth countries that were once at a similar income level, across a broad setof structural indicators, to identify priority reform areas that could improve long-termgrowth prospect.

JEL Classification: O1, O20, O40, O50, F10, F31, Q02, D24