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Income distribution in Argentina, 1974-2000

Author

Listed:
  • Altimir, Oscar
  • González Rozada, Martín
  • Beccaría, Luis Alberto

Abstract

Over the last quarter-century, the distribution of income in Argentina has deteriorated steadily. This article utilizes microsimulation analysis to decompose the impact that labour changes have had on the distribution of family income. In the 1970s, the deterioration was due to real reduction and relative dispersion of wages; in the1980s, it was linked to growing unemployment resulting from successive crises; in the1990s, under the new economic order, the deterioration continued as a result of the unemployment generated by the restructuring of production and the increase in labour force participation, coupled, in the last phase, with greater inequality in wage levels. The article concludes that the new economic model involves, beyond currency appreciation and the ultimate collapse of the macroeconomic regime, a lower employment elasticity of growth -thereby generating more structural unemployment- and a larger wage gap between workers at different skill levels.

Suggested Citation

  • Altimir, Oscar & González Rozada, Martín & Beccaría, Luis Alberto, 2002. "Income distribution in Argentina, 1974-2000," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), December.
    • Handle: RePEc:ecr:col070:10907
    Note: Includes bibliography
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    References listed on IDEAS

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    1. Martínez, Ricardo Gabriel & Ramos, Adrián, 2000. "El proceso de inversiones en la economía argentina: impacto de las reformas de política y procesos de decisión ante un cambio de incertidumbre," Sede de la CEPAL en Santiago (Estudios e Investigaciones) 31569, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    2. Lee, Lung-fei & Maddala, G S & Trost, R P, 1980. "Asymptotic Covariance Matrices of Two-Stage Probit and Two-Stage Tobit Methods for Simultaneous Equations Models with Selectivity," Econometrica, Econometric Society, vol. 48(2), pages 491-503, March.
    3. Altimir, Oscar & Beccaría, Luis Alberto, 1998. "Efectos de los cambios macroeconómicos y de las reformas sobre la pobreza urbana en Argentina," Sede de la CEPAL en Santiago (Estudios e Investigaciones) 31166, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    4. Lee, Lung-Fei, 1983. "Generalized Econometric Models with Selectivity," Econometrica, Econometric Society, vol. 51(2), pages 507-512, March.
    5. Heymann, Daniel, 2000. "Políticas de reforma y comportamiento macroeconómico," Sede de la CEPAL en Santiago (Estudios e Investigaciones) 31568, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
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    Cited by:

    1. Darío Judzik & Luc�a Trujillo & Soledad Villafa�e, 2017. "A tale of two decades: Income inequality and public policy in Argentina (1996-2014)," Revista Cuadernos de Economia, Universidad Nacional de Colombia, FCE, CID, vol. 36(72).
    2. Fiorio, Carlo V. & Saget, Catherine., 2010. "Reducing or aggravating inequality? : Preliminary findings from the 2008 financial crisis," ILO Working Papers 994564873402676, International Labour Organization.
    3. Torres, Miguel & Hofman, André A., 2008. "ECLAC thinking in the CEPAL Review (1976-2008)," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), December.

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