The Dynamics of Inequality Change in a Highly Dualistic Economy: Honduras, 1991-2007

Stephan Klasen, Thomas Otter and Carlos Villalobos

No wp-2012-017, WIDER Working Paper Series from World Institute for Development Economic Research (UNU-WIDER)

Abstract: We examine the drivers of inequality change in Honduras between 1991-2007, trying to understand why inequality increased in Honduras until 2005, while it was falling in most other Latin American countries. Using annual household surveys, we document first rising inequality between 1991-2005, which is followed by falling inequality thereafter. Using an inequality decomposition technique, we show that the rising inequality between 1991 and 2005 was, for the most part, driven by the dispersion of labour incomes in rural areas.

Keywords: Education; Equality and inequality; Household survey; Income distribution; Wages (search for similar items in EconPapers)
Date: 2012
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Citations: View citations in EconPapers (4)

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Working Paper: The dynamics of inequality change in a highly dualistic economy: Honduras, 1991-2007 (2012)
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