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COVID-19 can be described as a heat-seeking missile speeding toward the most vulnerable in society. That metaphor applies not just to the vulnerable in the rich world; the vulnerable in the rest of the world are not more immune. Yet, despite the extensive spread of the virus, the mortality toll remains highly concentrated in high-income countries. Developing countries represent 85 percent of the global population, but only 21 percent of the pandemic's death toll. This unusual inequality creates the impression that the world is subjected to two different pandemics in terms of their impact. This paper documents the observed inequality with a new indicator that expresses severity relative to pre-pandemic patterns. It argues that the excessive skew towards rich countries is inconsistent with demography. Simulations based on reasonable ranges for infectivity and fatality suggest that the developing country share in global fatalities could rise by a factor of three (from 21 to 69 percent). Environmental and host-specific factors will influence these results but are unlikely to overturn them. While data quality has a role in explaining "excess inequality", the more compelling explanation is that the pandemic has yet to run its course through the age distributions of the world.
Case Fatality Rate --- Cause of Death --- Chronic Obstructive Pulmonary Diseas --- Coronavirus --- COVID-19 --- Demographics --- Disease Control and Prevention --- Health --- Health, Nutrition and Population --- Heart Disease --- Mortality --- Pandemic --- Public Health Promotion --- Risk of Death
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Despite their importance, data on the structure of bank credit by maturity are scarce. For Latin America and the Caribbean, data are particularly difficult to obtain, as few banks report loan maturity data in commercial data sets such as Bankscope. With support from the Association of Supervisors of Banks of the Americas, this study assembled a novel data set on the structure of bank credit allocation in Latin America and the Caribbean covering 21 countries during 2004-14. This paper uses Bankscope and International Financial Statistics data to extended the coverage to more than 100 countries, creating the largest data set so far on credit by maturity. Benchmarking credit structure in Latin America and the Caribbean, the paper finds that the region is financially underdeveloped, because the ratio of short-term credit to gross domestic product is lower than in peers; long-term credit is at par; and consumer and commercial loans are lower. The paper also explores patterns of credit growth through nonparametric regressions. The results indicate that short-term credit grows faster than long-term credit as income grows in low-income countries, but the situation reverses when countries reach high- or middle-income status. Reflecting this trend, the share of mortgage loans rises with income.
Bank Lending --- Capital Flows --- Capital Markets and Capital Flows --- Finance and Financial Sector Development --- Financial Development --- Financial Regulation & Supervision --- Housing Finance --- Inflation --- International Economics & Trade --- Long-Term Credit --- Non Bank Financial Institutions --- Public Sector Development
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