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Appraising income inequality databases in Latin America

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  • François Bourguignon

    () (PSE - Paris-Jourdan Sciences Economiques - CNRS - Centre National de la Recherche Scientifique - ENPC - École des Ponts ParisTech - EHESS - École des hautes études en sciences sociales - INRA - Institut National de la Recherche Agronomique - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres, PSE - Paris School of Economics - ENPC - École des Ponts ParisTech - ENS Paris - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique - EHESS - École des hautes études en sciences sociales - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

Abstract

This paper provides an evaluation of the main income distribution databases in Latin America: the CEPALSTAT and the SEDLAC databases. Alhough they rely on the same household surveys conducted by national statistical offices in the region, the indicators reported in the two databases differ substantially in a number of cases. Those differences come from distinct adjustments made to the original data, in particular an adjustment to National Accounts aggregate income data in the CEPALSTAT database. Based on this comparison, the paper then provides a general discussion of the adjustment of household survey data to National Accounts as well as other issues which may be responsible for biases in the way inequality is estimated and reported.

Suggested Citation

  • François Bourguignon, 2015. "Appraising income inequality databases in Latin America," PSE - Labex "OSE-Ouvrir la Science Economique" halshs-01307743, HAL.
  • Handle: RePEc:hal:pseose:halshs-01307743
    DOI: 10.1007/s10888-015-9304-4
    Note: View the original document on HAL open archive server: https://halshs.archives-ouvertes.fr/halshs-01307743
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    1. Francisco G. Ferreira & Nora Lustig & Daniel Teles, 2015. "Appraising cross-national income inequality databases: An introduction," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 13(4), pages 497-526, December.
    2. Winkelried, Diego & Escobar, Bruno, 2020. "Declining inequality in Latin America? Robustness checks for Peru," MPRA Paper 106566, University Library of Munich, Germany.
    3. Facundo Alvaredo & Cecilia García-Peñalosa, 2018. "Top incomes, wealth and inheritance: special issue in homage to Tony Atkinson," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 16(2), pages 131-136, June.
    4. Guido Neidhöfer, 2019. "Intergenerational mobility and the rise and fall of inequality: Lessons from Latin America," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 17(4), pages 499-520, December.
    5. Gabriel Burdín & Mauricio de Rosa & Andrea Vigorito & Joan Vilá, 2019. "Was falling inequality in all Latin American countries a data-driven illusion? Income distribution and mobility patterns in Uruguay 2009-2016," Documentos de Trabajo (working papers) 19-30, Instituto de Economia - IECON.
    6. François Bourguignon, 2018. "Simple adjustments of observed distributions for missing income and missing people," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 16(2), pages 171-188, June.
    7. Nora Lustig, 2020. "The ``missing rich'' in household surveys: causes and correction approaches," Working Papers 520, ECINEQ, Society for the Study of Economic Inequality.
    8. François Bourguignon, 2018. "World Changes in Inequality: an Overview of Facts, Causes, Consequences, and Policies1," CESifo Economic Studies, CESifo, vol. 64(3), pages 345-370.
    9. Andrea Brandolini & Alfonso Rosolia, 2019. "The Distribution of Well-Being among Europeans," SOEPpapers on Multidisciplinary Panel Data Research 1052, DIW Berlin, The German Socio-Economic Panel (SOEP).
    10. Leonardo Lucchetti & Andrés Castañeda & Santiago Garriga & Leonardo Gasparini & Daniel Valderrama, 2018. "How Sensitive Is Regional Poverty Measurement in Latin America to the Value of the Poverty Line?," Economía Journal, The Latin American and Caribbean Economic Association - LACEA, vol. 0(Fall 2018), pages 33-58, November.
    11. Boone, Catherine & Simson, Rebecca, 2019. "Regional inequalities in African political economy: theory, conceptualization and measurement, and political effects," LSE Research Online Documents on Economics 100861, London School of Economics and Political Science, LSE Library.
    12. Mauricio de Rosa & Joan Vilá, 2020. "Distributing the missing third: growth and falling inequality in Uruguay 2009-2016," Documentos de Trabajo (working papers) 20-05, Instituto de Economia - IECON.
    13. Nelson R. Ramírez- Rondán & Marco E. Terrones & Diego Winkelried, 2020. "Equalizing growth: The case of Peru," Working Papers 176, Peruvian Economic Association.
    14. , Stone Center & Lustig, Nora, 2020. "The “Missing Rich” in Household Surveys: Causes and Correction Approaches," SocArXiv j23pn, Center for Open Science.
    15. Channing Arndt & Kristi Mahrt, 2017. "Is inequality underestimated in Mozambique?: Accounting for underreported consumption," WIDER Working Paper Series wp-2017-153, World Institute for Development Economic Research (UNU-WIDER).
    16. Channing Arndt & Kristi Mahrt, 2017. "Is inequality underestimated in Mozambique? Accounting for underreported consumption," WIDER Working Paper Series 153, World Institute for Development Economic Research (UNU-WIDER).
    17. Calvo-Gonzalez,Oscar & Caruso,German Daniel & Castaneda Aguilar,Raul Andres & Malasquez Carbonel,Eduardo Alonso, 2020. "What Do 50 Years of Census Records and Household Survey Data Tell Us about Human Opportunities and Welfare in Latin America ?," Policy Research Working Paper Series 9205, The World Bank.
    18. Richard Tonkin & Sean White & Sofiya Stoyanova & Aly Youssef & Sunny Sidhu & Chris Payne, 2020. "Developing Indicators of Inequality and Poverty Consistent with National Accounts," NBER Chapters, in: Measuring Distribution and Mobility of Income and Wealth, National Bureau of Economic Research, Inc.
    19. Nora Lustig, 2019. "The “Missing Rich” in Household Surveys: Causes and Correction Approaches," Commitment to Equity (CEQ) Working Paper Series 75, Tulane University, Department of Economics.

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