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The social impact of structural adjustment in Bolivia

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  • Rainer Thiele

    (Kiel Institute for World Economics, Kiel, Germany)

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 labour market. For rural areas, the scant evidence available points towards persistently high poverty levels and a widening rural-urban gap. Copyright © 2003 John Wiley & Sons, Ltd.

Suggested Citation

  • Rainer Thiele, 2003. "The social impact of structural adjustment in Bolivia," Journal of International Development, John Wiley & Sons, Ltd., vol. 15(3), pages 299-319.
    • Handle: RePEc:wly:jintdv:v:15:y:2003:i:3:p:299-319
    DOI: 10.1002/jid.974
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    References listed on IDEAS

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    1. Thiele, Rainer & Wiebelt, Manfred, 2000. "Sind die Anpassungsprogramme von IWF und Weltbank gescheitert? Eine Bilanz der Erfahrungen von zwei Jahrzehnten," Kiel Discussion Papers 357, Kiel Institute for the World Economy (IfW Kiel).
    2. Dollar, David & Kraay, Aart, 2002. "Growth Is Good for the Poor," Journal of Economic Growth, Springer, vol. 7(3), pages 195-225, September.
    3. Andersen, Lykke E., 2001. "Low Social Mobility in Bolivia: Causes and Consequences for Development," Kiel Working Papers 1046, Kiel Institute for the World Economy (IfW Kiel).
    4. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-766, May.
    5. Jiménez, Wilson & Pereira, Rodney, 1998. "Políticas macroeconómicas, pobreza y equidad en Bolivia," Sede de la CEPAL en Santiago (Estudios e Investigaciones) 31167, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    6. Ms. Gabriela Inchauste, 2000. "Educational Choices and Educational Constraints: Evidence From Bolivia," IMF Working Papers 2000/042, International Monetary Fund.
    7. 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 467, World Bank - Technical Papers.
    8. 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 1563, The World Bank.
    9. Schweickert, Rainer, 2001. "Macroeconomic constraints on economic development and poverty reduction: the case of Bolivia," Kiel Working Papers 1060, Kiel Institute for the World Economy (IfW Kiel).
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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 3082, Kiel Institute for the World Economy (IfW Kiel).
    2. Theile, Rainer & Wiebelt, Manfred, 2003. "Attacking Poverty in Bolivia – Past Evidence and Future Prospects: Lessons from a CGE Analysis," Documentos de trabajo 6/2003, Instituto de Investigaciones Socio-Económicas (IISEC), Universidad Católica Boliviana.
    3. Victor Agadjanian, 2002. "Competition and Cooperation Among Working Women in the Context of Structural Adjustment: The Case of Street Vendors in la Paz-El Alto, Bolivia," Journal of Developing Societies, , vol. 18(2-3), pages 259-285, June.
    4. Makedonas Eleftherios & Bellos Sotirios & Turan Subasat, 2015. "IMF Lending and Poverty in Developing Countries," Journal of Heterodox Economics, Sciendo, vol. 2(2), pages 113-137, December.
    5. Isabelle Hillenkamp, 2015. "Solidarity Economy for Development and Women's Emancipation: Lessons from Bolivia," Development and Change, International Institute of Social Studies, vol. 46(5), pages 1133-1158, September.
    6. Rimal, N.S. & Kumar, S. & Singh, D.R. & Chahal, V.P. & Shaloo, 2015. "Sources of Growth in Pulses Production in India," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 28(1).
    7. 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 101, Ibero-America Institute for Economic Research.
    8. Suraratdecha, Chutima & Okunade, Albert A., 2006. "Measuring operational efficiency in a health care system: A case study from Thailand," Health Policy, Elsevier, vol. 77(1), pages 2-23, June.
    9. Marta Moratti, 2010. "Consumption Poverty and Pro-Poor Growth in Bolivia," Working Paper Series 1310, Department of Economics, University of Sussex Business School.
    10. Hillenkamp, Isabelle, 2009. "L’approche latino-américaine de l’économie populaire, les inégalités et la pauvreté," Revue de la Régulation - Capitalisme, institutions, pouvoirs, Association Recherche et Régulation, vol. 6.

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    More about this item

    JEL classification:

    • D3 - Microeconomics - - Distribution
    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development

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