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Local Distributional Effects of Government Cash Transfers in Chile

Despite rapid economic growth and poverty reduction, inequality in Chile has remained high and remarkably constant over the last 20 years,prompting academic and public interest in the subject. Due to data limitations, however, research on inequality in Chile has concentrated on the national and regional levels. The impact of cash subsidies to poor households on local inequality is thus not well understood. Using povertymapping methods to asses this impact, we find heterogeneity in the effectiveness of regional and municipal governments in reducing inequality via poverty-reduction transfers, suggesting that alternative targeting regimes may complement current practice in aiding the poor.

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Paper provided by Ilades-Georgetown University, Universidad Alberto Hurtado/School of Economics and Bussines in its series ILADES-Georgetown University Working Papers with number inv181.

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Length: 39 pages
Date of creation: May 2007
Date of revision:
Handle: RePEc:ila:ilades:inv181
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  1. Simler, Kenneth R., 2006. "Nutrition mapping in Tanzania: an exploratory analysis," FCND discussion papers 204, International Food Policy Research Institute (IFPRI).
  2. Ravallion, Martin, 2001. "Inequality convergence," Policy Research Working Paper Series 2645, The World Bank.
  3. Ravallion, Martin, 2001. "Growth, Inequality and Poverty: Looking Beyond Averages," World Development, Elsevier, vol. 29(11), pages 1803-1815, November.
  4. Ravallion, Martin & Shaohua Chen, 1996. "What can new survey data tell us about recent changes in distribution and poverty?," Policy Research Working Paper Series 1694, The World Bank.
  5. Simler, Kenneth R. & Nhate, Virgulino, 2005. "Poverty, inequality, and geographic targeting," FCND briefs 192, International Food Policy Research Institute (IFPRI).
  6. Ravallion, Martin & Chen, Shaohua, 2007. "China's (uneven) progress against poverty," Journal of Development Economics, Elsevier, vol. 82(1), pages 1-42, January.
  7. Simler, Kenneth R. & Nhate, Virgulino, 2005. "Poverty, inequality, and geographic targeting: Evidence from Small-Area Estimates in Mozambique," FCND discussion papers 192, International Food Policy Research Institute (IFPRI).
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