Democracy and Inequality-reduction in Brazil · 2014. 11. 18. · Democracy and...

Democracy and Inequality-reduction in Brazil

Marta ArretcheUSP/CEM

FAPESP Week CALIFORNIA

November 17-21, 2014

http://www.fflch.usp.br/centrodametropole/en/

Census Project - 50 years of Data

GIS - TerraView Courses Social PolicyTraining on Geoprocessing for urban analysis

1. The Puzzle

1. Different expected outcomes from the same source

1. In the developed world, democracy led to inequality reduction along the XXth century AND democracy would also keep inequality at low levels

↑ the median voter theory (Meltzer and Richard, 1981)

2. This path would be problematic in the developing world

↑ wrong institutions

↑ historical legacies

↑ quality of democracy

However, facts subverted!

Facts subverted!

Earning Gains by vintile - 1981-2013

0

1.000

2.000

3.000

4.000

5.000

6.000

7.000

0

100

200

300

400

500

600

700

800

1º Vintile 3º Vintile 10º Vintil 19º Vintil

Inequality-reductionthe richest x the poorest earning ratio 1981-2013

10

15

20

25

30

35

40

45

50

55

60

65

70

75

80

1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1992 1993 1995 1996 1997 1998 1999 2001 2002 2003 2004 2005 2006 2007 2008 2009 2011 2012 2013

19°vintil/1° vintil 19°vintil/3°vintil

The Gender Wage Ratio: Women’s and Men’s Earnings - Brazil - 1981-2012

0

0,5

1

1,5

2

2,5

3

3,5

0,1 0,15 0,2 0,25 0,3 0,35 0,4 0,45 0,5 0,55 0,6 0,65 0,7 0,75 0,8 0,85 0,9 0,95

Razão

Percentis de Renda

1981 1990 2001 2012

The Race Wage Ratio: White’s and Non-white’s Earnings - Brazil - 1987-2012

0

0,5

1

1,5

2

2,5

3

0,1 0,15 0,2 0,25 0,3 0,35 0,4 0,45 0,5 0,55 0,6 0,65 0,7 0,75 0,8 0,85 0,9 0,95

Razão

Percentis de Renda

1987 1990 2001 2012

Inequality reduction in the job Market

Earnings ratio : 1981-2013

0

1

2

3

4

5

6

7

8

9

19811982198319841985198619871988198919901992199319951996199719981999200120022003200420052006200720082009201120122013

17°vintil/10°vintil 15°vintil/5°vintil 17°vintil/5°vintil

The Education Returns

0

10

20

30

40

50

60

70

80

90

100

1960 1960 1980 1991 2000 2010

Pop 12-5 years-old and 4 schooling year estudo

Pop 16-8 years-old and 8 schooling years

Pop 19-20 and 11 schooling years

Conclusions

• Policies connect democracy to inequality-reduction

• Inequality-reduction is the result of a combination of policies

• whose trajectory is independent

• and unfold over time

Thanks!

Marta Arretche arretche@usp.br

Center for Metropolitan Studieshttp://www.fflch.usp.br/centrodametropole/en/

Trajetória dos Serviços de acordo com

a renda

0,0

20,0

40,0

60,0

80,0

100,0

120,0

1º 2º 3º 4º 5º 6º 7º 8º 9º 10º 11º12º 13º14º15º 16º17º 18º19º20º

Água Esgoto Coleta de Lixo Energia

Trajetória Territorial do Acesso a

Esgoto

1970

1980

1991

2000

2010