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The Social Impact of Structural Adjustment in Bolivia

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  • Rainer Thiele

Abstract

This paper provides an account of the evolution of poverty and inequality during adjustment in Bolivia, covering the period 1985–99. It turns out that urban poverty declined somewhat after the initial stabilization phase that followed the hyperinflation in 1985. A similar evolution of per capita income suggests a positive impact of growth on urban poverty, although the correlation between the two variables is rather low in international perspective. Urban inequality as measured by the Gini coefficient does not exhibit a clear long-term trend upward or downward, but a rising premium for high-skilled workers indicates increasing disparities in the urban labor market. For rural areas, the scant evidence available points towards persistently high poverty levels and a widening rural-urban gap.

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Bibliographic Info

Paper provided by Kiel Institute for the World Economy in its series Kiel Working Papers with number 1056.

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Length: 49 pages
Date of creation: Jul 2001
Date of revision:
Handle: RePEc:kie:kieliw:1056

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Keywords: Poverty; Inequality; Structural Adjustment; Bolivia;

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References

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  1. Dollar, David & Kraay, Aart, 2001. "Growth is good for the poor," Policy Research Working Paper Series, The World Bank 2587, The World Bank.
  2. Andersen, Lykke Eg, 2001. "Low Social Mobility in Bolivia: Causes and Consequences for Development," Documentos de trabajo, Instituto de Investigaciones Socio-Económicas (IISEC), Universidad Católica Boliviana 3/2001, Instituto de Investigaciones Socio-Económicas (IISEC), Universidad Católica Boliviana.
  3. Thiele, Rainer & Wiebelt, Manfred, 2000. "Sind die Anpassungsprogramme von IWF und Weltbank gescheitert? Eine Bilanz der Erfahrungen von zwei Jahrzehnten," Kiel Discussion Papers, Kiel Institute for the World Economy (IfW) 357, Kiel Institute for the World Economy (IfW).
  4. Bruno, Michael & Ravallion, Martin & Squire, Lyn, 1996. "Equity and growth in developing countries : old and new perspectives on the policy issues," Policy Research Working Paper Series, The World Bank 1563, The World Bank.
  5. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, Econometric Society, vol. 52(3), pages 761-66, May.
  6. Rainer Schweickert, 2001. "Macroeconomic Constraints on Economic Development and Poverty Reduction: The Case of Bolivia," Kiel Working Papers, Kiel Institute for the World Economy 1060, Kiel Institute for the World Economy.
  7. Gabriela Inchauste, 2000. "Educational Choices and Educational Constraints," IMF Working Papers, International Monetary Fund 00/42, International Monetary Fund.
  8. Woden, Q.T. & Ayres, W. & Barenstein, M. & Hicks, N. & Lee, K. & Maloney, W. & Peeters, P. & Siaens, C. & Yitzjaki, S., 2000. "Poverty and Policy in Latin America and Caribeean," Papers, World Bank - Technical Papers 467, World Bank - Technical Papers.
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Cited by:
  1. Schweickert, Rainer, 2003. "Vom Washington-Konsens zum Post-Washington-Dissens? : Glaubwürdigkeit, Timing und Sequencing wirtschaftlicher Reformen," Open Access Publications from Kiel Institute for the World Economy, Kiel Institute for the World Economy (IfW) 3082, Kiel Institute for the World Economy (IfW).
  2. Stephan Klasen & Melanie Grosse & Rainer Thiele & Jann Lay & Julius Spatz & Manfred Wiebelt, 2004. "Operationalizing Pro-Poor Growth - Country Case Study: Bolivia," Ibero America Institute for Econ. Research (IAI) Discussion Papers, Ibero-America Institute for Economic Research 101, Ibero-America Institute for Economic Research.
  3. Marta Moratti, 2010. "Consumption Poverty and Pro-Poor Growth in Bolivia," Working Paper Series 1310, Department of Economics, University of Sussex.

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