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Fiscal adjustment and income inequality : sub-national evidence from Brazil

Author: João Pedro Azevedo; International Monetary Fund. Institute for Capacity Development.
Publisher: [Washington, D.C.] : International Monetary Fund, ©2014.
Series: IMF working paper, WP/14/85.
Edition/Format:   eBook : Document : International government publication : EnglishView all editions and formats
Summary:
"We combine state-level fiscal data with household survey data to assess the links between sub-national fiscal policy and income inequality in Brazil over the period 1995-2011. The results indicate that a tighter fiscal stance at the sub-national level is not associated with a deterioration in inequality measures. This finding contrasts with the conclusions of several papers in the burgeoning literature on the  Read more...
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Details

Material Type: Document, Government publication, International government publication, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: João Pedro Azevedo; International Monetary Fund. Institute for Capacity Development.
OCLC Number: 881128459
Notes: "Institute for Capacity Development"--Page 2 of pdf.
"May 2014"--Page 2 of pdf.
Description: 1 online resource (31 pages).
Series Title: IMF working paper, WP/14/85.
Responsibility: João Pedro Azevedo [and others].

Abstract:

"We combine state-level fiscal data with household survey data to assess the links between sub-national fiscal policy and income inequality in Brazil over the period 1995-2011. The results indicate that a tighter fiscal stance at the sub-national level is not associated with a deterioration in inequality measures. This finding contrasts with the conclusions of several papers in the burgeoning literature on the effects of fiscal consolidation on inequality using national data for OECD economies. In addition, we find that a tighter stance is typically positively associated with a measure of "shared prosperity". Hence, our results caution against extrapolating policy implications of the literature focusing on advanced economies to other settings"--Abstract.

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