Declining in Latin America inequality: Market forces or states action?, by Luis Lopez-Calva and Nora Lustig, published by VoxEU. Income inequality in Latin America declined steadily between 2000 and 2007. The average decline for the 12 countries was 1.1% a year. Two leading factors seem to account for the decline in inequality were a decrease in the earnings gap between high-skilled and low-skilled workers the second was an increase in government transfers to the poor.
Declining Latin Inequality (Calva, Lustig)
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