Corruption, privatisation and the distribution of income in Latin America


This paper presents some new evidence on income inequality in Latin America over the period 1980-1999, examining in particular the relationship between corruption, privatisation and inequality. Using a panel data methodology, we find that a reduction in corruption is associated with a rise in inequality. This suggests that while privatisation removes industries from government influence and government corruption, it worsens income inequality as new owners strive for efficiency and profits. The paper highlights the fact that structural reform policies aimed primarily at achieving positive and increasing growth rates do not adequately address the income distribution problem.

Working Paper N° 09/2007

380 KB

Te puede interesar

The Bolivian Universal Health System and Effective Access to Healthcare: A Diagnosis

Por: Gabriela Alondra Agafitei La Paz, mayo 2022 Resumen En 2019 el gobierno boliviano ha …