Determinantes Imediatos da Queda da Desigualdade de Renda Brasileira
Between 2001 e 2005, the degree of income inequality in Brazil declined sharply and continuously, reaching in 2005 the lowest level in the last 30 years. The Gini coefficient declined by almost 5%, and the ratio between the richest 20% and the poorest 20% declined more than 20%. This reduction on income inequality contributed to substantially reduce poverty and to improve the life?s conditions of the poorest, even in a period of relative per capita income stagnation. In spite of this decline, the degree of inequality in the country is steel extremely high. Therefore, it is essential that steps which are favorable to inequality reduction may be continued. In this way, it is essential to investigate the determinants of this recent decline in order to formulate more effective policies and interventions. In this paper, based on a series of counter factual simulations, we identify and quantify the contribution of proximately determinants responsible for this recent decline on inequality in Brazil. Between the findings we must highlight that around 50% of the decline on inequality resulted from the evolution of non labor income, although it represents less than 1/4 of the total income. Changes in the labor income explain around 1/3 of the observed decline on inequality, although it represents more than 3/4 of the total income. Finally, the reduction on the degree of association of these two sources of income also has an important role in the inequality decline.
|Date of creation:||Jan 2007|
|Contact details of provider:|| Postal: SBS - Quadra 01 - Bloco J - Ed. BNDES, Brasília, DF - 70076-90|
Web page: http://www.ipea.gov.br
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:ipe:ipetds:1253. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Fabio Schiavinatto)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.