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Ms. Carmen Reinhart and Mr. Rodrigo O. Valdes

elected to office. That’s good. On the other hand, the bad part of it is fragmentation, and the political parties in Mexico are fragmenting. For example, the left, the Partido de la Revolución Democrática (PRD, Party of the Democratic Revolution), has been divided between [Andrés Manuel] López Obrador and MORENA [the Movimiento Regeneración Nacional, or National Regeneration Movement] and the rest of the PRD. So in the next presidential election it may very well happen that since we don’t have a second round, and the second round has been taboo for the Partido

Guillermo Ortiz Martínez

Abstract

Let me welcome you all to this Per Jacobsson panel. This is the last of the IMF-sponsored events in this very fruitful week. We just had a board meeting of the Foundation, and the Vice Chairman of the Foundation and the First Deputy Managing Director of the IMF, David Lipton, gave us a reflection. I had asked him a question: How do you feel leaving the meetings as opposed to when you had just come into the meetings? And he said, well, the IMF put out all these documents prior to the meeting. We were told that day that we were a little bit pessimistic, that we were a little bit somber. But then, he said, last night they went to a panel sponsored by Citi, and Willem Buiter, who is, as you know, the chief economist for Citi, said that the IMF had been extremely optimistic. So he leaves it somewhere in between, and that’s a good place to be.

Ms. Carmen Reinhart and Mr. Rodrigo O. Valdes

Abstract

GUILLERMO ORTIZ: So let me begin with you, Carmen. In your very distinguished academic career, you have focused on several subjects, but you have been really a student, an analyzer of Latin American economics and politics, and you are an expert on financial crises.