The Impact of Inequality in Latin America
This paper examines the impact of inequality on poor people in Latin America. It is argued that development policies in Latin America and other developing regions should focus not only on eliminating poverty and deprivation but also on preventing and reducing inequality. By inequality we refer not only to differences in income or consumption between population groups but also to divergences in the access to social and political rights (education, health care, voting, and so on). Although conceptually related, poverty and inequality are two distinct phenomena and it is possible that falls in poverty may be accompanied by increases in inequality and vice-versa. In fact, many Latin America countries have experienced the former in recent years. In the long-term, however, persistent inequalities as those observed in the Latin America region will undermine efforts to reduce poverty and destitution due to the emergence of poverty traps caused by the impossibility of economic and social mobility of certain population groups. This will have important consequences for the challenge of achieving the Millennium Development Goal of halving poverty worldwide by 2015. In addition, persistently high inequalities will also impact negatively on crucial economic, social and political variables and will thus seriously undermine the success of any development strategies.
|Date of creation:||Apr 2003|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: +44 (0) 1273 678889
Fax: +44 (0)1273 873715
Web page: http://www.sussex.ac.uk/economics
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Momi Dahan & Alejandro Gaviria, 1998.
"Parental Actions and Siblings' Inequality,"
IDB Publications (Working Papers)
6448, Inter-American Development Bank.
- Murphy, Kevin M & Shleifer, Andrei & Vishny, Robert W, 1989.
"Income Distribution, Market Size, and Industrialization,"
The Quarterly Journal of Economics,
MIT Press, vol. 104(3), pages 537-64, August.
- Kevin M. Murphy & Andrei Shleifer & Robert Vishny, 1988. "Income Distribution, Market Size, and Industrialization," NBER Working Papers 2709, National Bureau of Economic Research, Inc.
- Glewwe, Paul & Hall, Gillette, 1998. "Are some groups more vulnerable to macroeconomic shocks than others? Hypothesis tests based on panel data from Peru," Journal of Development Economics, Elsevier, vol. 56(1), pages 181-206, June.
- Oded Galor & Joseph Zeira, 2013.
"Income Distribution and Macroeconomics,"
2013-12, Brown University, Department of Economics.
- Harrison, Elizabeth & Seidl, Christian, 1994. " Perceptional Inequality and Preferential Judgements: An Empirical Examination of Distributional Axioms," Public Choice, Springer, vol. 79(1-2), pages 61-81, April.
- Escobal, Javier & Saavedra, Jaime & Torero, Máximo, 1999.
"Los activos de los pobres en el Perú,"
El Trimestre Económico,
Fondo de Cultura Económica, vol. 0(263), pages 619-659, Julio-sep.
- Javier Escobal & Jaime Saavedra-Chanduví & Máximo Torero, 1999. "Los activos de los pobres en el Perú," Research Department Publications 3059, Inter-American Development Bank, Research Department.
- Javier Escobal & Jaime Saavedra & Máximo Torero, 2000. "Los activos de los pobres en el Perú," Documentos de Investigación dt26, Grupo de Análisis para el Desarrollo (GRADE).
- Javier Escobal & Jaime Saavedra-Chanduví & Máximo Torero, 1999. "Los activos de los pobres en el Perú," IDB Publications (Working Papers) 7601, Inter-American Development Bank.
- Lam, David & Schoeni, Robert F, 1993.
"Effects of Family Background on Earnings and Returns to Schooling: Evidence from Brazil,"
Journal of Political Economy,
University of Chicago Press, vol. 101(4), pages 710-40, August.
- Lam. D. & Schoeni, R.F., 1996. "Effects on Family Background on Earnings and Returns to Schooling: Evidence from Brazil," Papers 96-13, RAND - Reprint Series.
- Kanbur, Ravi, 1998.
"Income Distribution and Development,"
179323, Cornell University, Department of Applied Economics and Management.
- Mesa-Lago, Carmelo, 1983. "Social security and extreme poverty in Latin America," Journal of Development Economics, Elsevier, vol. 12(1-2), pages 83-110.
- Lucia Hanmer & Niek De Jong & Rachel Kurian & Jos Mooij, 1999. "Are the DAC targets achievable? Poverty and human development in the year 2015," Journal of International Development, John Wiley & Sons, Ltd., vol. 11(4), pages 547-563.
- Patricia Justino & Arnab Acharya, 2003. "Inequality in Latin America: Processes and Inputs," PRUS Working Papers 22, Poverty Research Unit at Sussex, University of Sussex.
- Ravallion, M. & Datt, G., 1991. "Growth and Redistribution Components of Changes in Poverty Measures," Papers 83, World Bank - Living Standards Measurement.
- Datt, Gaurav & Ravallion, Martin, 1992. "Growth and redistribution components of changes in poverty measures : A decomposition with applications to Brazil and India in the 1980s," Journal of Development Economics, Elsevier, vol. 38(2), pages 275-295, April.
- Ahmad, Ehtisham, 1991. "Social Security and the Poor: Choices for Developing Countries," World Bank Research Observer, World Bank Group, vol. 6(1), pages 105-27, January.
- Ravallion, Martin & Datt, Gaurav, 1999. "When is growth pro-poor? Evidence from the diverse experiences of India's states," Policy Research Working Paper Series 2263, The World Bank.
- Kanbur, Ravi & Lustig, Nora, 1999. "Why is Inequality Back on the Agenda?," Working Papers 127690, Cornell University, Department of Applied Economics and Management.
- Ahluwalia, Montek S., 1976. "Inequality, poverty and development," Journal of Development Economics, Elsevier, vol. 3(4), pages 307-342, December.
- Cline, William R., 1975. "Distribution and development : A survey of literature," Journal of Development Economics, Elsevier, vol. 1(4), pages 359-400, November.
- Perotti, Roberto, 1993. "Political Equilibrium, Income Distribution, and Growth," Review of Economic Studies, Wiley Blackwell, vol. 60(4), pages 755-76, October.
- S. M. Ravi Kanbur, 1987. "Measurement and Alleviation of Poverty: With an Application to the Effects of Macroeconomic Adjustment (Evaluation quantitative de la pauvretÃ© et remÃ¨des possibles: analyse des effets d'un ajustemen," IMF Staff Papers, Palgrave Macmillan, vol. 34(1), pages 60-85, March.
When requesting a correction, please mention this item's handle: RePEc:pru:wpaper:21. 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: (Russell Eke)
If references are entirely missing, you can add them using this form.