EconPapers    
Economics at your fingertips  
 

Fiscal Policy, Inequality, and the Ethnic Divide in Guatemala - Working Paper 397

Maynor Cabrera
Authors registered in the RePEc Author Service: Nora Lustig ()

No 397, Working Papers from Center for Global Development

Abstract: Guatemala is one of the most unequal countries in Latin America and has the highest incidence of poverty. The indigenous population is more than twice as likely to be poor than the nonindigenous group. Fiscal incidence analysis based on the 2009-2010 National Survey of Family Income and Expenditures shows that taxes and transfers do almost nothing to reduce inequality and poverty overall or along ethnic and rural-urban lines. Persistently low tax revenues are the main limiting factor. Tax revenues are not only low but also regressive. Consumption taxes are regressive enough to offset the benefits of cash transfers: poverty after taxes and cash transfers is higher than market income poverty.

Keywords: inequality; poverty; ethnic divide; fiscal incidence; taxes; social spending; Guatemala (search for similar items in EconPapers)
JEL-codes: D31 H22 I14 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-lam
Date: 2015-03
References: Add references at CitEc
Citations: View citations in EconPapers (14) Track citations by RSS feed

Downloads: (external link)
http://www.cgdev.org/publication/fiscal-policy-ine ... la-working-paper-397

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cgd:wpaper:397

Access Statistics for this paper

More papers in Working Papers from Center for Global Development Contact information at EDIRC.
Bibliographic data for series maintained by Publications Manager ().

 
Page updated 2019-08-14
Handle: RePEc:cgd:wpaper:397