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Poverty and Inequality in a Rapid Growth Economy: Chile 1990-96

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  • Dante Contreras

Abstract

Using parametric and non-parametric methods this article examines the evolution of poverty and inequality in Chile between 1990 and 1996. This period is interesting because of the rapid growth exhibited by the Chilean economy. Using the Datt-Ravallion decomposition economic growth accounts for over 85 per cent of poverty reduction. The evidence suggests that the sustained level of high inequality is not necessarily associated with a lower welfare level. By comparing the evolution of poverty and inequality over time, we observe a continuous decrease in poverty, while inequality remains stable. This pattern has left everyone (both poor and rich individuals) better off.

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File URL: http://www.tandfonline.com/doi/abs/10.1080/00220380412331322871
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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Journal of Development Studies.

Volume (Year): 39 (2003)
Issue (Month): 3 ()
Pages: 181-200

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Handle: RePEc:taf:jdevst:v:39:y:2003:i:3:p:181-200

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Related research

Keywords: poverty; inequality; education;

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Cited by:
  1. Agostini, Claudio A. & Brown, Philip H. & Roman, Andrei C., 2010. "Poverty and Inequality Among Ethnic Groups in Chile," World Development, Elsevier, vol. 38(7), pages 1036-1046, July.
  2. Maria S. Floro & Javier Bronfman, 2012. "How Well have Social Protection Schemes in Chile Reduced Household Vulnerability?," Working Papers 2012-03, American University, Department of Economics.
  3. Ramón López & Gustavo Anríquez, 2004. "Poverty and Agricultural Growth: Chile in the 1990s," The Electronic Journal of Agricultural and Development Economics, Food and Agriculture Organization of the United Nations, vol. 1(1), pages 6-24.
  4. Claudio A. Agostini, & Philip H. Brown, & Andrei Roman, 2008. "Estimating Poverty for Indigenous Groups in Chile by Matching Census and Survey Data," William Davidson Institute Working Papers Series wp932, William Davidson Institute at the University of Michigan.
  5. Dusan Paredes, 2010. "Can NEG explains the spatial distribution of wages in developing countries? Evidence from Chile," Documentos de Trabajo en Economia y Ciencia Regional 02, Universidad Catolica del Norte, Chile, Department of Economics, revised Sep 2010.
  6. Kalwij, Adriaan & Verschoor, Arjan, 2005. "A Decomposition of Poverty Trends across Regions: The Role of Variation in the Income and Inequality Elasticities of Poverty," Working Paper Series RP2005/36, World Institute for Development Economic Research (UNU-WIDER).
  7. Claudio Agostini & Phillip Brown & Andrei Roman, 2008. "Poverty Estimating Poverty for Indigenous Groups by Matching Census and Survey Data," ILADES-Georgetown University Working Papers inv207, Ilades-Georgetown University, Universidad Alberto Hurtado/School of Economics and Bussines.
  8. Federico Huneeus & Oscar Landerretche & Esteban Puentes, 2012. "Multidimensional Measure of Job Quality: Persistence and Heterogeneity in a Developing Country," Working Papers wp357, University of Chile, Department of Economics.

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