Silvana Maubrigades
In the last 15 years, the region has experienced favorable political environments for improvements in inequality indicators, both in terms of income distribution and access to better living conditions. The situation, however, is not homogeneous across the region. The southern cone continues to stand out for providing better living conditions to its population and Chile is still a country with high levels of inequality, especially in terms of wages, despite the levels of economic growth.
During the same time period, many countries in the region have experienced a change in political direction towards the Centre-Left, though this did not substantially change countries’ economic policies. Inequality decreased through redistribution among the lower and middle classes, while the upper classes were little affected by this redistributive process. The labor market has been the largest source of redistribution, with reduction in global unemployment and a steady increase in regulation. It is not clear that this is an easy phenomenon to maintain over time, especially with this current scenario of slowing economic growth, or possible recessions looming in countries like Brazil.
