The Rise and Fall of Income Inequality in Mexico, 1989바카라 사이트“2010

Inequality in Mexico rose between 1989 and 1994 and declined between 1994 and 2010.

From:
Foreign, Commonwealth & Development Office
Published
1 January 2012
Country:
Mexico
Document Type:
Working Paper
Theme:
Economic Growth
First published:
1 January 2012
Authors:
Campos, R., Esquivel, G. and Lustig, N.

Abstract

Inequality in Mexico rose between 1989 and 1994 and declined between 1994 and 2010. We examine the role of market forces (demand and supply of labour by skill), institutional factors (minimum wages and unionization rate), and public policy (cash transfers) in explaining changes in inequality. We apply the 바카라 사이트˜re-centred influence function바카라 사이트™ method to decompose changes in hourly wages into characteristics and returns. The main driver is changes in returns. Returns rose (1989-94) due to institutional factors and labour demand. Returns declined (1994-2006) due to changes in supply and, to a lesser extent, in demand; institutional factors were not relevant. 바카라 사이트 transfers contributed to the decline in inequality, especially after 2000.

Citation

Campos, R.; Esquivel, G.; Lustig, N. The Rise and Fall of Income Inequality in Mexico, 1989-2010. UNU-WIDER, Helsinki, Finland (2012) 26 pp. ISBN 978-92-9230-47-473-7 [WIDER Working Paper No. 2012/10]

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Published 1 January 2012
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