the yellow-book of 2010 makes a systematic review of specific nations as before.  Among dozens of state analyses, Cuba, Venezuela and Mexico are worth reading in particular.  Economic reforms in Cuba reemerged above the horizon in 2010.  On service and commodity sectors, the government again advocated a privatization process by favorable policies including bank loans, raw-material supplies, etc.  Raúl Modesto Castro Ruz also mapped out a bold staff reduction plan, which required the state-owned institutions and firms to accomplish a cut-down by 1 million personnel (20 % of the current state employees) in the forthcoming three years.  More significant is that 0.5 million have to be moved out by March, 2011.  In light of such ambitious reformist agenda, many centrally-planned measures (i.e. sector subsidies, food rations, dual currency rates, state management of agricultural products, etc.) are considered to be abolished.  As stated recently by the Cuban leaders, the 6th Congress of the Communist Party, that is due to convene in April, 2011, will formally inaugurate all policies to "update the economic paradigm".     Contents

　　In a sharp contrast, Caracas still turned its back to market forces and made great strikes to enhance nationalization and central-planning in 2010.  First, the government merged a group of key enterprises; second, the state depreciated its currency by 50% and stepped backward to the fixed single-currency exchange regime from the dual-track one that came into force not long ago.  Under such strict control, foreign reserve may get improved, but firms are restrained to flow out their profits; third, President Chávez Frías announced an exigency on state electric power.  In consequence, shopping and office times were shortened while processing lines of smelt and steel-making plants stopped running; fourth, the PDVSA opened the biggest sale in the last ten years on its oil-field drills, having attracted Indian, Japanese, Spanish, U.S. firms to join its ventures.  Regardless of its benign intents, Caracas faced a couple of regretful developments in the past year.  It was the most stagnated economy in the LAC regions, with -1.6 GDP growth rate and a capital account deficit of 15.5 billion U.S. dollars.  In such a macro-econ context, a slide of foreign direct investment in Venezuela seemed inevitable that worsened its balance of payment and taxation incomes.  In addition, inflation potential increased that coincided with existing deflation pressure.  Between January and October, 2010, the unemployment rate raised to 8.6 %, which was 0.8 percent higher than the same period in 2009.

　　Précis (WU, Baiyi)

　　Keynote Analysis

　　Chile: To Run Out of Middle Income Trap as the First in South America　　——Since the Return to Democracy (ZHENG, Bingwen & QI, Chuanjun)

　　Highlight Reports

　　The Chilean Presidential Election and Its Implications (ZHANG, Fan)

　　The Columbian General Election and Its Implications (HE, Shuangrong)

　　The Congressional Election in Venezuela and Its Implications (WANG, Peng)

　　The Brazilian General Election and Its Implications (ZHOU, Zhiwei)

　　Sector Reviews

　　Political Developments in the LAC Region (YANG, Jianmin)

　　Economic Developments in the LAC Region (WU, Guoping)

　　Social Developments in the LAC Region (GUO, Cunhai)

　　International Relations of the LAC States (HE, Shuangrong)

　　Region/State Observations

　　Brazil (ZHOU, Zhiwei)

　　Mexico (FANG, Xufei)

　　Argentina  (LIN, Hua)

　　Cuba   (LIU, Weiguang)

　　Venezuela  (WANG, Peng)

　　Chile   (WANG, Junsheng)

　　Colombia   (QI, Fengtian)

　　Peru   (FAN, Lei)

　　Bolivia  (SONG, Xia)

　　Ecuador (XIE, Wenze)

　　Uruguay (SUN, Hongbo)

　　Paraguay (YANG, Jianmin)

　　Costa Rica  (YANG, Jianmin)

　　Nicaragua (LI, Han)

　　Honduras  (YANG, Zhimin)

　　Salvador (HAN, Han)

　　Guatemala (LU, Siheng)

　　Panama  (CHEN, Yuanting)

　　Dominican Republic  (FAN, Lei)

　　Haiti (ZHAO, Chongyang)

　　The Caribbean (YUE, Yunxia)

　　Appendix I  Statistics

　　Table 1  Average Annual Growth Rates of GDP and GDP per Capita

　　Table 2  Regional GDP and GDP per Capita of LAC

　　Table 3  Balance of Payment

　　Table 4  Net FDI

　　Table 5  Total Foreign Debt

　　Table 6  Annual Variations of CPI

　　Table 7  Open Unemployment Rate(average annual rate)

　　Table 8  Income Concentration Index of 18 LAC Countries(1989~2009)

　　Table 9  Sino-Latin American Trade Statistics

　　Table 10  Non-Financial FDI Statistics on China and LAC

　　Appendix II  Chronicles

　　Events of Latin America in 2010