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Poverty Convergence with Stagnation: The Dynamics of Well-being across Mexican Municipalities, 1992-2014

Research output: Working paper/PreprintWorking paper

Luis F. Lopez-Calva, Eduardo Ortiz Juarez, Carlos Rodríguez-Castelán

Original languageEnglish
PublisherWorld Bank
Published2019

Publication series

NamePolicy Research Working Paper
PublisherWorld Bank
No.9038

King's Authors

Abstract

This paper exploits a novel dataset to provide unambiguous evidence of convergence in income, poverty, and inequality across Mexico’s mu- nicipalities over 1992-2014 in a context of stagnant overall economic growth. The findings suggest that these convergence processes stem from a combination of considerable positive performance among the poorest municipalities, and stagnant and deteriorating performance among richer counterparts. The expansion of social assistance seems to have played a crucial part in these results, with the double effect of bolstering high income growth rates among the poorest while exerting progressive changes in the distribution of income.

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