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Full Description
Over the last decade, the Latin America and the Caribbean (LAC) region has experienced a steady decline in poverty rates. This trend has been accompanied by strong income growth of the bottom 40 percent, which is the World Bank Group's indicator for measuring shared prosperity. Nonetheless, further poverty reduction and steady income growth of the bottom 40 percent face challenges as LAC has witnessed both a slowdown of economic activity and a decline in the pace of inequality reduction. This book recognizes that the emphasis on improving the welfare of the less well-off in LAC requires transformational policies that restore growth and preserve macroeconomic stability, while at the same time reinforcing the ability of the less advantaged groups to participate in and contribute to growth.
This book unpacks the trends and drivers of poverty reduction and shared prosperity in eleven LAC countries while also discussing the sustainability of development patterns at the country level. An overview chapter takes a comprehensive look at the heterogeneity of social outcomes and development challenges across this region of the world. Drawing upon the country chapters, four policy areas emerge which are relevant for reinforcing the links between growth and equity in LAC: equitable and sustainable fiscal and macroeconomic policies; fair and accountable public institutions capable of delivering quality basic services; accessible and competitive markets; and (4) adequate risk management.
