This project investigates several issues, such as: (i) distilling the policy lessons (for Latin America itself and other countries) arising from the 'Open Economy Redistribution With Growth' (OERWG) model developed during the last decade, with particular attention to the gains in the field of growth, inequality and poverty reduction; (ii) testing whether the policy shift which followed the transition to democracy and the election of centre-left and other regimes contributed to the growth acceleration and inequality decline of 2002-08; (iii) identify best practice policies in the policy areas illustrated above; (iv) analyse the extent of their distributive and growth effects; (v) assess the future sustainability of OERWG model, given the hurdles Latin American governments still face; (vi) discuss the problems of the OERWG model in the fields of industrial policy and diversification of output-exports towards the technology-intensive manufacturing sector; (vii) examine how Latin America can raise its domestic savings and reduce its costly dependence on volatile foreign savings; (viii) propose an extended version of the OERWG model addressing the structural handicaps still hampering improvements in the field of growth, inequality and poverty reduction in the region.
Social insurance has not succeeded in reducing fiscal deficits and expanding coverage to more beneficiaries in Latin America Social assistance has had a greater impact on poverty and inequality than social insurance In lower-middle-income countries...
During the 1990s, inequality in Ecuador increased because of a natural disaster and deep economic and financial crisis, as well as the impact of liberalization of the trade and financial sectors on labour markets Falling income equality in Ecuador...
Left-of-centre governments emphasized fiscally-prudent but more equitable macroeconomic, tax, social expenditure and labour policies A drop in the premium paid to skilled workers following a rapid expansion of secondary education decreased wage...
Integration of Latin America into the international economy over the past quarter century has led to faster export growth, but not to faster GDP or productivity growth Contrary to mainstream analysis, under the current market reforms countries have...
30 October 2014 Dominik Etienne and Annett Victorero The last decade has witnessed a revival of concern over the impact of high-income concentration...
After tax reforms in the 1980s and 1990s, income inequality increased in many Latin American countries The tax reforms of the 2000s have been more equalizing in terms of income inequality: Argentina, Honduras and Nicaragua have seen the most...
Theme: Past, 2010-11
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