How Committed to Equity are Latin American Governments?
Latin America’s distribution of income and wealth has long been the most unequal in the world—but poverty and inequality have been falling consistently since 2000 in most countries of the region. What has changed in Latin America? Are the region’s governments more committed to equality than in the past? Have their tax and spending policies improved? Which governments are most committed? Which least? What policies and programs have been most effective in redistributing income? Are they sustainable? What is holding Latin America back from faster gains?
Paul Collier’s 2007 book, The Bottom Billion: Why the Poorest Countries are Failing and What Can Be Done About It, changed the way we think about poverty and development. Collier argued that the majority of the 5-billion people in the "developing world" live in countries with sustained high growth rates and would eventually escape from poverty. The rest—the bottom billion—live in 58 small, poor, often land-locked countries that are growing very slowly or not at all.
You might not think you’d need a Ph.D. to figure out that people with more money are happier than people with less. Yet that relationship is surprisingly controversial and—not so surprisingly—highly relevant for development policy. This week’s Wonkcast features a young academic whose new work on subjective wellbeing, income and economic development is upending the conventional academic wisdom on happiness.
There are 49 countries in the world that the United Nations classifies as Least Developed Countries (LDCs). How does a country wind up on the list, and how is the international community working to help these countries develop?
My guest this week is