THE INFLUENCE OF THE U.S. UNCERTAINTY SHOCKS ON LATIN AMERICAN ECONOMIES

Resumo

We analyzed the shocks of US financial and macroeconomic uncertainty on Latin American economies. The estimates indicate the stock market and the exchange rate for transmitting these shocks to the real sector of these countries, negatively impacting private consumption and investment. These movements depress the region’s GDP. US influence is significant in all Latin economies, when comparing US uncertainty shocks with regional (Latin partner) and external (from the Eurozone, Japan, China, and UK) shocks. We conclude that uncertainty has relevant US spillover effects on Latin economies.