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Mexico : two decades of the evolution of education and inequality

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  • Lopez-Acevedo, Gladys

Abstract

Mexico experienced a pronounced increase in the degree of inequality and earnings inequality over the 1980s and mid 1990s. Contrary to the trend in the distribution of total income inequality, there has been an improvement in the distribution of earnings inequality since 1996. This paper shows the following results. First, education has the highest gross contribution in explaining changes in earnings distribution. Second, both changes in the distribution of education and in the relative earnings among educational groups have always been in phase with the alterations in the earnings distribution. Specifically, when the income profile effect related to education became steeper and the inequality of education increased, the earnings distribution worsened (as in the 1988-96 period). Third, changes in the relative earnings among educational groups are always the leading force behind changes in inequality.

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  • Lopez-Acevedo, Gladys, 2006. "Mexico : two decades of the evolution of education and inequality," Policy Research Working Paper Series 3919, The World Bank.
    • Handle: RePEc:wbk:wbrwps:3919
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    2. David Atkin, 2016. "Endogenous Skill Acquisition and Export Manufacturing in Mexico," American Economic Review, American Economic Association, vol. 106(8), pages 2046-2085, August.
    3. Robert A. Blecker, 2009. "Comercio, Empleo y Distribución: Efectos de la Integración Regional y Global," Working Papers 2009-21, American University, Department of Economics.
    4. Gurleen K. Popli, 2011. "Changes in Human Capital and Wage Inequality in Mexico," Oxford Development Studies, Taylor & Francis Journals, vol. 39(3), pages 369-387, February.
    5. Timothy Halliday & Daniel Lederman & Raymond Robertson, 2018. "Tracking wage inequality trends with prices and different trade models: evidence from Mexico," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 154(1), pages 47-73, February.
    6. Amirah El-Haddad & May Gadallah, 2018. "The Informalization of the Egyptian Economy (1998-2012): A Factor in Growing Wage Inequality?," Working Papers 1210, Economic Research Forum, revised 12 Jun 2018.
    7. Gerardo Esquivel, 2011. "The Dynamics of Income Inequality in Mexico since NAFTA," Economía Journal, The Latin American and Caribbean Economic Association - LACEA, vol. 0(Fall 2011), pages 155-188, August.
    8. Cinthya G. Caamal Olvera, 2017. "Decreasing returns to schooling in Mexico," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 32(1), pages 27-63.
    9. Fernando A. Lozano & Mary J. Lopez, 2013. "Border Enforcement and Selection of Mexican Immigrants in the United States," Feminist Economics, Taylor & Francis Journals, vol. 19(1), pages 76-110, January.
    10. Florence Arestoff & Jérôme Sgard, 2012. "Education, pauvreté, inégalités : les relations économiques élémentaires," Sciences Po publications info:hdl:2441/eu4vqp9ompq, Sciences Po.
    11. repec:hal:spmain:info:hdl:2441/eu4vqp9ompqllr09i6dc1i61n is not listed on IDEAS
    12. Florence Arestoff & Jérôme Sgard, 2012. "Education, pauvreté, inégalités : les relations économiques élémentaires," SciencePo Working papers Main hal-01054021, HAL.
    13. Robert A. Blecker & Gerardo Esquivel, 2010. "NAFTA, Trade and Development (Robert A. Blecker and Gerardo Esquivel)," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 11(4), pages 17-30, December.
    14. repec:hal:wpspec:info:hdl:2441/eu4vqp9ompqllr09i6dc1i61n is not listed on IDEAS
    15. Morales-Ramos Eduardo, 2011. "The returns to education in Mexico," Working Papers 2011-07, Banco de México.
    16. James W. Bono & David H. Wolpert, 2009. "Statistical prediction of the outcome of a noncooperative game," Working Papers 2009-20, American University, Department of Economics.
    17. Raymond Robertson, 2007. "Trade and Wages: Two Puzzles from Mexico," The World Economy, Wiley Blackwell, vol. 30(9), pages 1378-1398, September.
    18. Florence Arestoff & Jérôme Sgard, 2012. "Education, pauvreté, inégalités : les relations économiques élémentaires," Post-Print hal-01054021, HAL.

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    Keywords

    Inequality; Labor Markets; Economic Theory&Research; Access&Equity in Basic Education; Poverty Impact Evaluation;
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