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Economic Inequality and Political Power: A Comparative Analysis of Argentina and Brazil

Author

Listed:
  • Galbraith James K

    (University of Texas at Austin)

  • Spagnolo Laura T

    (University of Texas at Austin)

  • Pinto Sergio

    (Getulio Vargas Foundation)

Abstract

In this paper we analyze the distribution of pay and changing trends of inequality in Argentina and Brazil, illuminating the specific winners and losers, by region and by economic activity (sector). In both countries we find that inequality rose in the neoliberal period, but that it declined following the severe crises of neoliberal policy, in 1993 in Brazil and in late 2001 in Argentina. This period of post-neoliberalism is characterized in both countries by a decline in the economic weight of the financial sector and a recovery of the position of the civil service. In both countries, the rise in inequality leading to the crisis produced an increase in the relative position of the major metropolitan centers; this positional advantage also declined modestly in the post-crisis recovery period.

Suggested Citation

  • Galbraith James K & Spagnolo Laura T & Pinto Sergio, 2007. "Economic Inequality and Political Power: A Comparative Analysis of Argentina and Brazil," Business and Politics, De Gruyter, vol. 9(1), pages 1-25, May.
    • Handle: RePEc:bpj:buspol:v:9:y:2007:i:1:n:3
    DOI: 10.2202/1469-3569.1176
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    Cited by:

    1. Svilena Mihaylova, 2023. "Wage Inequality in Bulgaria: Decomposition by Economic Sectors, Occupational Groups and Districts," Bulgarian Economic Papers bep-2023-05, Faculty of Economics and Business Administration, Sofia University St Kliment Ohridski - Bulgaria // Center for Economic Theories and Policies at Sofia University St Kliment Ohridski, revised Sep 2023.
    2. Adem Y. Elveren & James K. Galbraith, 2009. "Pay Inequality in Turkey in the Neo-Liberal Era, 1980-2001," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 6(2), pages 177-206, December.
    3. James Galbraith, 2009. "Inequality, unemployment and growth: New measures for old controversies," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 7(2), pages 189-206, June.
    4. James K. Galbraith, 2019. "Sparse, Inconsistent and Unreliable: Tax Records and the World Inequality Report 2018," Development and Change, International Institute of Social Studies, vol. 50(2), pages 329-346, March.

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