He is Sumitomo-FASID professor of Development and International Finance at Harvard University's John F. Kennedy School of Government.

The majority of this increase came from state-owned copper miner Codelco, whose profit contribution, in the form of taxes and dividends, provides approximately 13 percent of government revenues.

[4] After the copper price plummeted following the 2007-2010 global financial crisis, threatening the Chilean economy, Velasco then used these reserves on stimulus spending for subsidies and tax cuts[3] policies now being praised for their positive social impact[5] His popularity reversed from one of the most reviled politicians to one of the most admired.

[2] During its launch ceremony in November 2018, he remarked that the School of Public Policy will strive “to understand the causes of things for the betterment of society,” as outlined by LSE's founders.

As dean, he has continued to write articles on a wide range of topics for Project Syndicate, including populism and macroeconomic policy.

[12] In 2021, Velasco was appointed to the World Bank–International Monetary Fund High-Level Advisory Group (HLAG) on Sustainable and Inclusive Recovery and Growth, co-chaired by Mari Pangestu, Ceyla Pazarbasioglu, and Nicholas Stern.

[13][non-primary source needed] Velasco has received several distinctions, including: the Award for Excellence in Research granted by the Inter-American Development Bank (IDB), in recognition of contributions to economic research, the design of policies, and the creation of research institutions in Latin America and the Caribbean (2006);[14] "Latin America Finance Minister of the Year" by Emerging Markets magazine published by Euromoney Institutional Investor plc during the annual meetings of the World Bank and International Monetary Fund, based on the preferences of the most influential economists, investors and experts in the region (2008); an award from América Economía magazine, which also considered him as "Finance Minister of the Year";[when?