Distributive effects during the expansionary phase in Argentina (2002-2007)

This article analyses developments in the labour market and income distribution in Argentina between 2002 and 2007, using data from the Permanent Household Survey and econometric estimates. Following the 2001 crisis the employment situation improved in the aggregate and there was initially a marked decline in income concentration. This reduction later tailed off, however, apparently because of differences in the opportunities for different types of households to reap the benefits of growth. Members of resource-poor households had less chance of finding work and faced disadvantages in terms of pay and labour market participation. The isolation and social homogeneity of the neighbourhoods in which these households were located appear to have influenced the distributive outcome.