Regressive structural change and the challenges for inclusive growth in Argentina

José Maria Fanelli and Nora Lustig

Chapter 10 in Economic Development, Economic Growth and Income Distribution, 2025, pp 190-208 from Edward Elgar Publishing

Abstract: This chapter analyzes three aspects of Argentina's economic development dynamics in the last 30 years using the ideas proposed by Ros which emphasize the role of distribution and structural change as a framework. First, the chapter presents evidence that Argentina has experienced regressive structural change since the early 1990s. Second, it shows how the policy reforms in the period 2004–19—under strikingly different political/ideological regimes—were unable to reverse the process of regressive structural change and ultimately deepened it. Third, the chapter describes Argentina's “infernal” vicious cycle; that is, how the political demands created by the failed attempts of reform led to the implementation of policies which have become barriers to the future implementation of policy and institutional reforms that could address regressive structural change. Although the chapter focuses on Argentina, the analysis can contribute to deepening understanding of the difficulties and policy dilemmas that arise in Latin America (and beyond), where other economies present symptoms of regressive structural change.

Keywords: Development; Structural change; Income distribution; Argentina (search for similar items in EconPapers)
Date: 2025
ISBN: 9781803929903
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