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Movilidad de ingreso y trampas de pobreza: nueva evidencia para los países del Cono sur

Author

Listed:
  • Rodrigo Arim

    (IECON, Universidad de la República)

  • Matías Brum

    (IECON, Universidad de la República)

  • Andrés Dean

    (IECON, Universidad de la República)

  • Martín Leites

    (IECON, Universidad de la República)

  • Gonzalo Salas

    (IECON, Universidad de la República)

Abstract

This paper uses the methods proposed by Antman y Mckenzie (2007) to tests the existence of poverty traps in Argentina, Brazil and Uruguay. We model the income dynamics of households and their reactions to recessions. We also focus in income trajectories for different educational levels, and estimate the rate at which households overcome poverty situations or return to their equilibrium income level after a shock. The results do find evidence of nonlinearities in household income dynamics. Further when educational levels are taken into account, poverty traps with non-convex income dynamics are found in the cases of Argentina, Brazil and Uruguay for households whose head belongs to low educational levels. These results are in stark contrast with previous empirical applications.

Suggested Citation

  • Rodrigo Arim & Matías Brum & Andrés Dean & Martín Leites & Gonzalo Salas, 2013. "Movilidad de ingreso y trampas de pobreza: nueva evidencia para los países del Cono sur," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 28(1), pages 3-38.
  • Handle: RePEc:emx:esteco:v:28:y:2013:i:1:p:3-38
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    References listed on IDEAS

    as
    1. Olga Cant⊙, 2000. "Income Mobility In Spain: How Much Is There?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 46(1), pages 85-102, March.
    2. Luis Ayala & Mercedes Sastre, 2004. "Europe vs. the United States: is there a trade-off between mobility and inequality?," Journal of Income Distribution, Ad libros publications inc., vol. 13(1-2), pages 4-4, March-Jun.
    3. Francisca Antman & David McKenzie, 2007. "Poverty traps and nonlinear income dynamics with measurement error and individual heterogeneity," Journal of Development Studies, Taylor & Francis Journals, vol. 43(6), pages 1057-1083.
    4. Rolf Aaberge & Anders Björklund & Markus Jäntti & Mårten Palme & Peder J. Pedersen & Nina Smith & Tom Wennemo, 2002. "Income Inequality and Income Mobility in the Scandinavian Countries Compared to the United States," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 48(4), pages 443-469, December.
    5. Lorenzo Cappellari & Stephen P. Jemkins, 2002. "Who Stays Poor? Who Becomes Poor? Evidence from the British Household Panel Survey," Economic Journal, Royal Economic Society, vol. 112(478), pages 60-67, March.
    6. Ceroni, Carlotta Berti, 2001. "Poverty Traps and Human Capital Accumulation," Economica, London School of Economics and Political Science, vol. 68(270), pages 203-219, May.
    7. Oded Galor & Joseph Zeira, 1993. "Income Distribution and Macroeconomics," Review of Economic Studies, Oxford University Press, vol. 60(1), pages 35-52.
    8. Fields, Gary S. & Ok, Efe A., 1996. "The Meaning and Measurement of Income Mobility," Journal of Economic Theory, Elsevier, vol. 71(2), pages 349-377, November.
    9. Aaberge, Rolf, et al, 2002. "Income Inequality and Income Mobility in the Scandinavian Countries Compared to the United States," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 48(4), pages 443-469, December.
    10. Michael Carter & Christopher Barrett, 2006. "The economics of poverty traps and persistent poverty: An asset-based approach," Journal of Development Studies, Taylor & Francis Journals, vol. 42(2), pages 178-199.
    11. Luis Casanova, 2008. "Trampas de Pobreza en Argentina: Evidencia Empírica a Partir de un Pseudo Panel," CEDLAS, Working Papers 0064, CEDLAS, Universidad Nacional de La Plata.
    12. Jarvis, Sarah & Jenkins, Stephen P, 1998. "How Much Income Mobility Is There in Britain?," Economic Journal, Royal Economic Society, vol. 108(447), pages 428-443, March.
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    1. repec:col:000093:016992 is not listed on IDEAS
    2. repec:gam:jsusta:v:10:y:2018:i:11:p:4316-:d:184380 is not listed on IDEAS
    3. repec:col:000093:017003 is not listed on IDEAS
    4. Paula Carrasco, 2012. "El efecto de las condiciones de ingreso al mercado de trabajo en los jóvenes uruguayos. Un análisis basado en la protección de la seguridad social," Documentos de Trabajo (working papers) 12-13, Instituto de Economía - IECON.

    More about this item

    Keywords

    poverty traps and income mobility.;

    JEL classification:

    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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