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Because the actual Lorenz curves lie so close together, visual inspection. This trend accelerates in the early s. Finally, the inequality of individual earnings—nonwage workers excluded. See Ferreira , Leite. Almeida dos Reis , Paes de Barros. World Development Report W. Growth, if any, has disproportionally benefited higher income groups while lower income households have been left behind.
This long-run increase in income inequality not only raises social and political concerns, but also economic ones. Lower income people have been prevented from realising their human capital potential, which is bad for the economy as a whole. This book highlights the key areas where inequalities are created and where new policies are required, including: the consequences of current consolidation policies; structural labour market changes with rising non-standard work and job polarization; persisting gender gaps; the challenge of high wealth concentration, and the role for redistribution policies.
View on oecd. Chapter 16 - Inequality and Fiscal Policy Here, I examine the level, redistributive impact and pro-poorness of government spending on education and health for thirteen developing countries from the Commitment to Equity project. Social spending as a share of total income is high by historical standards, and it rises with income per capita and income inequality. Spending on education and health lowers inequality and its marginal contribution to the overall decline in inequality is, on average, 69 percent.
Concentration coefficients indicate that spending on pre-school, primary and secondary education is pro-poor in twelve countries. Spending on tertiary education is regressive and unequalizing in three countries, and progressive and equalizing but not pro-poor in ten. Health spending is pro-poor in five countries.
Of the remaining eight, health spending per capita is roughly equal across the income distribution in three, and progressive and equalizing but not pro-poor in five.
[PDF] The Microeconomics of Income Distribution Dynamics in East Asia and Latin America (World
View on bookstore. Joseph Stiglitz is an extremely highprofile and wellregarded economist who won the Nobel Prize for Economic Sciences in Kaushik Basu Kaushik Basu is also a very wellknown and respected economist who currently holds the position of Chief Economist and Senior Vice President of the World Bank. Numerous influential economists and policymakers contribute to this volume, providing a thorough and comprehensive insight into the links between economic development and inequality.
This IEA volume brings together a set of essays written by leading authors on themes relevant to the study of economic development. The book covers a The book covers a range of topics many of which are relevant to policy issues. The contributors bring new insights from empirical research in a range of economies with chapters including discussions of the UN development agenda, fiscal policy in Latin America, poverty data in Africa and Jordan, and monetary policy in South Africa. Contemporary Issues in Development Economics is an essential read for researchers, scholars and policymakers interested in economic development in low- and middle-income countries.
Fiscal policy. Economia Mexicana. View on books. View on elfondoenlinea. El libro pone de View on fce. Stabilization and Adjustment Policies and Programs more. How much redistribution and poverty reduction is being accomplished in Latin America through social spending, subsidies, and taxes?
Leonardo Gasparini and Nora Lustig
Standard fiscal incidence analyses applied to Argentina, Bolivia, Brazil, Mexico, Peru, and Uruguay using a comparable methodology yields the following results. Direct taxes and cash transfers reduce inequality and poverty by nontrivial amounts in Argentina, Brazil, and Uruguay but less so in Bolivia, Mexico, and Peru. While direct taxes are progressive, the redistributive impact is small because direct taxes as a share of GDP are generally low. Cash transfers are quite progressive in absolute terms, except in Bolivia where programs are not targeted to the poor.
In Bolivia and Brazil, indirect taxes more than offset the poverty-reducing impact of cash transfers. When one includes the in-kind transfers in education and health, valued at government costs, they reduce inequality in all countries by considerably more than cash transfers, reflecting their relative size. View on journals. This study features six essays which review the available literature on the effects of NAFTA on growth, employment, income distribution, specific industries, and agriculture in the three countries, as well as the implications for the This study features six essays which review the available literature on the effects of NAFTA on growth, employment, income distribution, specific industries, and agriculture in the three countries, as well as the implications for the world trading system and non-NAFTA countries.
Many of the rules that govern labor markets in Latin America and elsewhere raise labor costs, create barriers to entry, and introduce rigidities in the employment structure. These include the exceedingly restrictive regulations on These include the exceedingly restrictive regulations on hiring and firing practices, as well as burdensome social insurance schemes.
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Such labor market regulations contribute to an over-expansion of precarious forms of employment and to rural poverty, and hinder countries from responding rapidly to new challenges from increased foreign competition. At the same time, other norms can reduce costs and raise productivity; they should be kept in place and their enforcement improved. For example, some occupational health and safety standards lower medical costs and save lives. One may also want to keep legislation aimed at providing a minimum social insurance for unemployment, old age, sickness, and disabilities.
Edited by José Antonio Ocampo and Jaime Ros
In practice, the most common decision that governments confront is not whether to intervene but to choose among different forms of intervention. This volume provides analysts and policymakers with useful insights on this issue. Part I addresses labor market institutions in a broader context, such as collective bargaining arrangements, minimum wages and poverty, and optimal unemployment insurance schemes. Part II analyzes labor market performance in Latin America, the links between performance and labor market regulations, and the status of labor market reform in the region.
These questions are addressed for the region as a whole and in great detail for Argentina, Brazil, Chile, Mexico, and Colombia. The book provides a comprehensive description of the existing labor institutions in Latin America, the problems they pose, and the trends in labor market reforms as well as the difficulties encountered by the reform process in specific cases. Coming Together? Relations more. Subsequent events, however, have introduced new tensions into the Subsequent events, however, have introduced new tensions into the relationship.
The economic collapse in Mexico sharply curtailed economic growth and lowered the demand for U.
The result has been a substantial deficit in U. Immigration, both legal and illegal, has grown as a subject of contention between the two countries. Mexico has also come under increased focus as a conduit for the flow of drugs into the United States. In this book, scholars from the United States and Mexico examine the major elements of the bilateral relationship. The economic dimension is highlighted in two papers that focus on the effects of NAFTA on trade and financial transactions.
The political and social dimensions are taken up in three papers on immigration, drug trafficking, and environmental concerns. The contributors include J. International Relations , Mexico , and United States. Economists have had much to say about what causes aggregate economic growth, but they have been more reticent about the distributional dimension of that growth. To understand development and the process of poverty reduction requires To understand development and the process of poverty reduction requires understanding not only how total income grows, but also how its distribution behaves over time.
The authors propose a decomposition of differences in entire distributions of household incomes, shedding new light on the powerful, and often conflicting, forces that underpin the changes in poverty and inequality that accompany the process of economic development. The poor in developing countries are particularly vulnerable to adverse shocks.
They have little or no access to public social insurance, are unlikely to save in adequate amounts to rely fully on self-insurance or informal insurance, face They have little or no access to public social insurance, are unlikely to save in adequate amounts to rely fully on self-insurance or informal insurance, face restricted access to private market insurance or credit mechanisms, and have little or no political voice to demand the protection of safety net programs. In this book, the authors analyze the best ways to help the poor manage risks such as health shocks, unemployment, sudden drops in income, and old age.
Unemployment benefits, employment programs, means-tested social assistance, social investment funds, and micro-finance for consumption-smoothing purposes are the leading options considered. The book provides a careful assessment of issues that governments need to address in the process of designing appropriate safety nets.