Conseqüências e Causas Imediatas da Queda Recente da Desigualdade de Renda Brasileira
Ricardo Paes de Barros
Mirela de Carvalho
In the last years, we are testifying an important changing in the Brazilian income distribution. Since 2001, inequality is decreasing considerably. Nevertheless, Brazil is still one of the world champions with respect to high inequality, which makes the sustainability of this decreasing one fundamental issue for the future country agenda. Although this recent fall is not the biggest nor the most extended of the last 30 years, if it continues it could turn into an unprecedented fact. The main objective of this study is to investigate the immediate determinants of this recent decline in income inequality between 2001 and 2004. Based on a series of micro counterfactual simulations, we identify and quantify the contribution of demography, the improvement of the social protection network and changes in the labor market. Attention is also given to the changes occurred in the associations and interactions between these factors.
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