scholarly journals How does fiscal austerity impact on poverty and inequality? The Spanish case

2022 ◽  
Author(s):  
P. Campoy-Muñoz ◽  
M. A. Cardenete ◽  
F. J. De Miguel-Vélez ◽  
J. Pérez-Mayo
Keyword(s):  
General Equilibrium ◽  
Computable General Equilibrium ◽  
Policy Reforms ◽  
The Great Recession ◽  
Public Deficit ◽  
Poverty And Inequality ◽  
Fiscal Adjustments ◽  
Fiscal Austerity ◽  
Redistributive Effects ◽  
Spending Cuts

AbstractThe aim of this paper is contributing to fill the gap between the macroeconomic effects of policy reforms and the microeconomic and social ones, considering simultaneously both kind of impacts. Regarding fiscal adjustments, concern about the sustainability of public deficit and debt resulting from the Great Recession led governments to adopt austerity measures in most European countries. Our analysis considers the redistributive effects of such adjustments for the Spanish economy by simulating a hypothetical reduction of public deficit and distinguishing between spending cuts and tax hikes. In terms of analytical approach, a Computable General Equilibrium (CGE) model and a microsimulation model are integrated to include the general equilibrium effects of these measures as well as the effects on income distribution. The results contribute to the growing but limited literature on the distributional effects of fiscal consolidations by showing that policymakers have to choose between more inequality or more poverty.

Social Policies and Center-Right Governments in Argentina and Chile

2017 ◽  
Vol 59 (03) ◽  
pp. 72-97 ◽  
Author(s):  
Sara Niedzwiecki ◽  
Jennifer Pribble
Keyword(s):  
Social Policy ◽  
Executive Branch ◽  
Welfare States ◽  
Cash Transfers ◽  
Policy Reforms ◽  
Left Turn ◽  
The Past ◽  
Poverty And Inequality ◽  
Left Party ◽  
Spending Cuts

AbstractLatin America's “left turn” expanded cash transfers and public services, contributing to lower poverty and inequality. Recently, right-leaning candidates and parties have begun to win back seats in the legislature, and in some cases have captured the executive branch. This shift has sparked debate about the future of Latin America's welfare states. This article analyzes social policy reforms enacted by two recent right-leaning governments: that of Sebastián Piñera in Chile (2010–14) and Mauricio Macri in Argentina (2015–). It finds that contrary to neoliberal adjustment policies of the past, neither Macri nor Piñera engaged in privatization or deep spending cuts. Instead, both administrations facilitated a process of policy drift in some sectors and marginal expansion in others. Policy legacies and the strength of the opposition help to explain these outcomes, suggesting that Latin America's political context has been transformed by the consolidation of democracy and the experience of left party rule.

Social Policies and Center-Right Governments in Argentina and Chile

2017 ◽  
Vol 59 (3) ◽  
pp. 72-97 ◽  
Author(s):  
Sara Niedzwiecki ◽  
Jennifer Pribble
Keyword(s):  
Social Policy ◽  
Executive Branch ◽  
Welfare States ◽  
Cash Transfers ◽  
Policy Reforms ◽  
Left Turn ◽  
The Past ◽  
Poverty And Inequality ◽  
Left Party ◽  
Spending Cuts

AbstractLatin America's “left turn” expanded cash transfers and public services, contributing to lower poverty and inequality. Recently, right-leaning candidates and parties have begun to win back seats in the legislature, and in some cases have captured the executive branch. This shift has sparked debate about the future of Latin America's welfare states. This article analyzes social policy reforms enacted by two recent right-leaning governments: that of Sebastián Piñera in Chile (2010–14) and Mauricio Macri in Argentina (2015–). It finds that contrary to neoliberal adjustment policies of the past, neither Macri nor Piñera engaged in privatization or deep spending cuts. Instead, both administrations facilitated a process of policy drift in some sectors and marginal expansion in others. Policy legacies and the strength of the opposition help to explain these outcomes, suggesting that Latin America's political context has been transformed by the consolidation of democracy and the experience of left party rule.

Rentenreform und Rentenzugangsentscheidung – Eine numerische Gleichgewichtsanalyse / Pension Reform and Endogenous Retirement – a Computable General Equilibrium Analysis

2009 ◽  
Vol 229 (4) ◽  
Author(s):  
Manuel Kallweit
Keyword(s):  
General Equilibrium ◽  
Computable General Equilibrium ◽  
Early Retirement ◽  
Pension Reform ◽  
Policy Implications ◽  
Equilibrium Analysis ◽  
Retirement Age ◽  
Policy Reforms ◽  
Retirement Decision ◽  
Endogenous Retirement

SummaryThe paper presents a numerical general equilibrium model in which agents decide about their retirement age. In this context policy reforms like an increase of the normal retirement age, higher discounts for early retirement or the introduction of flat or minimum pensions are simulated. While future generations benefit from the first two reforms, they suffer from the latter. There are three central findings: First, higher discounts have a stronger effect on the retirement decision than an increase in normal retirement age. Second, the timing of retirement is significantly affected by an introduction of flat pensions. Third, models with an explicit retirement decision can lead to different policy implications compared to models in which retirement age is exogenous.

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