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“Redistribution and development in Latin America: A quantile regression approach”

Author

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  • Oscar Claveria

    (AQR-IREA, University of Barcelona)

Abstract

This study examines the relationship between redistributive efforts and human development in 12 Latin American countries over the period 2000–2021. With the aim of evaluating the link between both variables throughout the distribution the analysis is based on quantile regression. Overall, the results suggest that greater redistribution is associated with higher development. This result holds for all ranges of the distribution and is robust to different specifications. The analysis of the redistributive effect of taxes and government transfers is extended to the different dimensions of development—health, education and economy—, finding that education is the component that is most significantly affected by increases in redistribution. Positive coefficients are also obtained for the other two components, although they are only significant at the centre of the distribution in the case of life expectancy, and at high levels of per capita income.

Suggested Citation

  • Oscar Claveria, 2024. "“Redistribution and development in Latin America: A quantile regression approach”," AQR Working Papers 202406, University of Barcelona, Regional Quantitative Analysis Group, revised Dec 2024.
    • Handle: RePEc:aqr:wpaper:202406
    as

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    File URL: https://www.ub.edu/irea/working_papers/2024/202417.pdf
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    References listed on IDEAS

    as
    1. Alberto Alesina & Dani Rodrik, 1994. "Distributive Politics and Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 109(2), pages 465-490.
    2. Amarante, Verónica & Galván, Marco & Mancero, Xavier, 2016. "Inequality in Latin America: a global measurement," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), April.
    3. Milanovic, Branko, 2000. "The median-voter hypothesis, income inequality, and income redistribution: an empirical test with the required data," European Journal of Political Economy, Elsevier, vol. 16(3), pages 367-410, September.
    4. Peter Lindert, 2004. "Social Spending and Economic Growth," Challenge, Taylor & Francis Journals, vol. 47(4), pages 6-16.
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    • C - Mathematical and Quantitative Methods

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