The myth of post-reform income stagnation: Evidence from Brazil and Mexico

Economic policies are often judged by a handful of statistics, some of which may be biased during periods of change. We estimate the income growth implied by the evolution of food demand and durable good ownership in post-reform Brazil and Mexico, and find that changes in consumption patterns are in...

Full description

Saved in:
Bibliographic Details
Published in:Journal of development economics 2012-03, Vol.97 (2), p.368-386
Main Authors: Filho, Irineu de Carvalho, Chamon, Marcos
Format: Article
Language:English
Subjects:
Consumption
CPI bias
Economic policy
Economic reform
Estimation bias
Growth rate
Household consumption
Income inequality
Inflation stabilization
Measurement error
Studies
Trade liberalization
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
cited_by cdi_FETCH-LOGICAL-c446t-9e9b98824fb710936aedca3296dc9240158428a983b9baef2fed5fe9a027fde43
cites cdi_FETCH-LOGICAL-c446t-9e9b98824fb710936aedca3296dc9240158428a983b9baef2fed5fe9a027fde43
container_end_page 386
container_issue 2
container_start_page 368
container_title Journal of development economics
container_volume 97
creator Filho, Irineu de Carvalho
Chamon, Marcos
description Economic policies are often judged by a handful of statistics, some of which may be biased during periods of change. We estimate the income growth implied by the evolution of food demand and durable good ownership in post-reform Brazil and Mexico, and find that changes in consumption patterns are inconsistent with official estimates of near stagnant incomes. That is attributed to biases in the price deflator. The estimated unmeasured income gains are higher for poorer households, implying marked reductions in “real” inequality. These findings challenge the conventional wisdom that post-reform income growth was low and did not benefit the poor.
doi_str_mv 10.1016/j.jdeveco.2011.06.009
format article
fullrecord <record><control><sourceid>proquest_cross</sourceid><recordid>TN_cdi_proquest_journals_910802949</recordid><sourceformat>XML</sourceformat><sourcesystem>PC</sourcesystem><els_id>S0304387811000666</els_id><sourcerecordid>2536420681</sourcerecordid><originalsourceid>FETCH-LOGICAL-c446t-9e9b98824fb710936aedca3296dc9240158428a983b9baef2fed5fe9a027fde43</originalsourceid><addsrcrecordid>eNqFkMtOwzAQRS0EEqXwCUgW-4SxkyY2GwQVT4HYlLXl2mPqqImLnVaUrydVu2c1m3vv6BxCLhnkDFh13eSNxQ2akHNgLIcqB5BHZMREzbMKhDwmIyigzApRi1NyllIDAHUB9Yi8zhZI222_oMHRVUh9FtGF2FLfmdAiTb3-6nTvQ3dDHzbeYmeQuhhaeh_1r19S3Vn6jj_ehHNy4vQy4cXhjsnn48Ns-py9fTy9TO_eMlOWVZ9JlHMpBC_dvGYgi0qjNbrgsrJG8hLYRJRcaCmKuZxrdNyhnTiUGnjtLJbFmFztd1cxfK8x9aoJ69gNL5VkIIDLUg6hyT5kYkhpYFKr6Fsdt4qB2llTjTpYUztrCio1WBt6t_seDgQbj1El43fQ1kc0vbLB_7PwB6f6eFU</addsrcrecordid><sourcetype>Aggregation Database</sourcetype><iscdi>true</iscdi><recordtype>article</recordtype><pqid>910802949</pqid></control><display><type>article</type><title>The myth of post-reform income stagnation: Evidence from Brazil and Mexico</title><source>International Bibliography of the Social Sciences (IBSS)</source><source>ScienceDirect Freedom Collection</source><creator>Filho, Irineu de Carvalho ; Chamon, Marcos</creator><creatorcontrib>Filho, Irineu de Carvalho ; Chamon, Marcos</creatorcontrib><description>Economic policies are often judged by a handful of statistics, some of which may be biased during periods of change. We estimate the income growth implied by the evolution of food demand and durable good ownership in post-reform Brazil and Mexico, and find that changes in consumption patterns are inconsistent with official estimates of near stagnant incomes. That is attributed to biases in the price deflator. The estimated unmeasured income gains are higher for poorer households, implying marked reductions in “real” inequality. These findings challenge the conventional wisdom that post-reform income growth was low and did not benefit the poor.</description><identifier>ISSN: 0304-3878</identifier><identifier>EISSN: 1872-6089</identifier><identifier>DOI: 10.1016/j.jdeveco.2011.06.009</identifier><identifier>CODEN: JDECDF</identifier><language>eng</language><publisher>Amsterdam: Elsevier B.V</publisher><subject>Consumption ; CPI bias ; Economic policy ; Economic reform ; Estimation bias ; Growth rate ; Household consumption ; Income inequality ; Inflation stabilization ; Measurement error ; Studies ; Trade liberalization</subject><ispartof>Journal of development economics, 2012-03, Vol.97 (2), p.368-386</ispartof><rights>2011 International Monetary Fund</rights><rights>Copyright Elsevier Sequoia S.A. Mar 2012</rights><lds50>peer_reviewed</lds50><oa>free_for_read</oa><woscitedreferencessubscribed>false</woscitedreferencessubscribed><citedby>FETCH-LOGICAL-c446t-9e9b98824fb710936aedca3296dc9240158428a983b9baef2fed5fe9a027fde43</citedby><cites>FETCH-LOGICAL-c446t-9e9b98824fb710936aedca3296dc9240158428a983b9baef2fed5fe9a027fde43</cites></display><links><openurl>$$Topenurl_article</openurl><openurlfulltext>$$Topenurlfull_article</openurlfulltext><thumbnail>$$Tsyndetics_thumb_exl</thumbnail><link.rule.ids>314,780,784,27924,27925,33223</link.rule.ids></links><search><creatorcontrib>Filho, Irineu de Carvalho</creatorcontrib><creatorcontrib>Chamon, Marcos</creatorcontrib><title>The myth of post-reform income stagnation: Evidence from Brazil and Mexico</title><title>Journal of development economics</title><description>Economic policies are often judged by a handful of statistics, some of which may be biased during periods of change. We estimate the income growth implied by the evolution of food demand and durable good ownership in post-reform Brazil and Mexico, and find that changes in consumption patterns are inconsistent with official estimates of near stagnant incomes. That is attributed to biases in the price deflator. The estimated unmeasured income gains are higher for poorer households, implying marked reductions in “real” inequality. These findings challenge the conventional wisdom that post-reform income growth was low and did not benefit the poor.</description><subject>Consumption</subject><subject>CPI bias</subject><subject>Economic policy</subject><subject>Economic reform</subject><subject>Estimation bias</subject><subject>Growth rate</subject><subject>Household consumption</subject><subject>Income inequality</subject><subject>Inflation stabilization</subject><subject>Measurement error</subject><subject>Studies</subject><subject>Trade liberalization</subject><issn>0304-3878</issn><issn>1872-6089</issn><fulltext>true</fulltext><rsrctype>article</rsrctype><creationdate>2012</creationdate><recordtype>article</recordtype><sourceid>8BJ</sourceid><recordid>eNqFkMtOwzAQRS0EEqXwCUgW-4SxkyY2GwQVT4HYlLXl2mPqqImLnVaUrydVu2c1m3vv6BxCLhnkDFh13eSNxQ2akHNgLIcqB5BHZMREzbMKhDwmIyigzApRi1NyllIDAHUB9Yi8zhZI222_oMHRVUh9FtGF2FLfmdAiTb3-6nTvQ3dDHzbeYmeQuhhaeh_1r19S3Vn6jj_ehHNy4vQy4cXhjsnn48Ns-py9fTy9TO_eMlOWVZ9JlHMpBC_dvGYgi0qjNbrgsrJG8hLYRJRcaCmKuZxrdNyhnTiUGnjtLJbFmFztd1cxfK8x9aoJ69gNL5VkIIDLUg6hyT5kYkhpYFKr6Fsdt4qB2llTjTpYUztrCio1WBt6t_seDgQbj1El43fQ1kc0vbLB_7PwB6f6eFU</recordid><startdate>20120301</startdate><enddate>20120301</enddate><creator>Filho, Irineu de Carvalho</creator><creator>Chamon, Marcos</creator><general>Elsevier B.V</general><general>Elsevier Sequoia S.A</general><scope>AAYXX</scope><scope>CITATION</scope><scope>8BJ</scope><scope>FQK</scope><scope>JBE</scope></search><sort><creationdate>20120301</creationdate><title>The myth of post-reform income stagnation: Evidence from Brazil and Mexico</title><author>Filho, Irineu de Carvalho ; Chamon, Marcos</author></sort><facets><frbrtype>5</frbrtype><frbrgroupid>cdi_FETCH-LOGICAL-c446t-9e9b98824fb710936aedca3296dc9240158428a983b9baef2fed5fe9a027fde43</frbrgroupid><rsrctype>articles</rsrctype><prefilter>articles</prefilter><language>eng</language><creationdate>2012</creationdate><topic>Consumption</topic><topic>CPI bias</topic><topic>Economic policy</topic><topic>Economic reform</topic><topic>Estimation bias</topic><topic>Growth rate</topic><topic>Household consumption</topic><topic>Income inequality</topic><topic>Inflation stabilization</topic><topic>Measurement error</topic><topic>Studies</topic><topic>Trade liberalization</topic><toplevel>peer_reviewed</toplevel><toplevel>online_resources</toplevel><creatorcontrib>Filho, Irineu de Carvalho</creatorcontrib><creatorcontrib>Chamon, Marcos</creatorcontrib><collection>CrossRef</collection><collection>International Bibliography of the Social Sciences (IBSS)</collection><collection>International Bibliography of the Social Sciences</collection><collection>International Bibliography of the Social Sciences</collection><jtitle>Journal of development economics</jtitle></facets><delivery><delcategory>Remote Search Resource</delcategory><fulltext>fulltext</fulltext></delivery><addata><au>Filho, Irineu de Carvalho</au><au>Chamon, Marcos</au><format>journal</format><genre>article</genre><ristype>JOUR</ristype><atitle>The myth of post-reform income stagnation: Evidence from Brazil and Mexico</atitle><jtitle>Journal of development economics</jtitle><date>2012-03-01</date><risdate>2012</risdate><volume>97</volume><issue>2</issue><spage>368</spage><epage>386</epage><pages>368-386</pages><issn>0304-3878</issn><eissn>1872-6089</eissn><coden>JDECDF</coden><abstract>Economic policies are often judged by a handful of statistics, some of which may be biased during periods of change. We estimate the income growth implied by the evolution of food demand and durable good ownership in post-reform Brazil and Mexico, and find that changes in consumption patterns are inconsistent with official estimates of near stagnant incomes. That is attributed to biases in the price deflator. The estimated unmeasured income gains are higher for poorer households, implying marked reductions in “real” inequality. These findings challenge the conventional wisdom that post-reform income growth was low and did not benefit the poor.</abstract><cop>Amsterdam</cop><pub>Elsevier B.V</pub><doi>10.1016/j.jdeveco.2011.06.009</doi><tpages>19</tpages><oa>free_for_read</oa></addata></record>
fulltext fulltext
identifier ISSN: 0304-3878
ispartof Journal of development economics, 2012-03, Vol.97 (2), p.368-386
issn 0304-3878
1872-6089
language eng
recordid cdi_proquest_journals_910802949
source International Bibliography of the Social Sciences (IBSS); ScienceDirect Freedom Collection
subjects Consumption
CPI bias
Economic policy
Economic reform
Estimation bias
Growth rate
Household consumption
Income inequality
Inflation stabilization
Measurement error
Studies
Trade liberalization
title The myth of post-reform income stagnation: Evidence from Brazil and Mexico
url http://sfxeu10.hosted.exlibrisgroup.com/loughborough?ctx_ver=Z39.88-2004&ctx_enc=info:ofi/enc:UTF-8&ctx_tim=2024-12-26T21%3A45%3A04IST&url_ver=Z39.88-2004&url_ctx_fmt=infofi/fmt:kev:mtx:ctx&rfr_id=info:sid/primo.exlibrisgroup.com:primo3-Article-proquest_cross&rft_val_fmt=info:ofi/fmt:kev:mtx:journal&rft.genre=article&rft.atitle=The%20myth%20of%20post-reform%20income%20stagnation:%20Evidence%20from%20Brazil%20and%20Mexico&rft.jtitle=Journal%20of%20development%20economics&rft.au=Filho,%20Irineu%20de%20Carvalho&rft.date=2012-03-01&rft.volume=97&rft.issue=2&rft.spage=368&rft.epage=386&rft.pages=368-386&rft.issn=0304-3878&rft.eissn=1872-6089&rft.coden=JDECDF&rft_id=info:doi/10.1016/j.jdeveco.2011.06.009&rft_dat=%3Cproquest_cross%3E2536420681%3C/proquest_cross%3E%3Cgrp_id%3Ecdi_FETCH-LOGICAL-c446t-9e9b98824fb710936aedca3296dc9240158428a983b9baef2fed5fe9a027fde43%3C/grp_id%3E%3Coa%3E%3C/oa%3E%3Curl%3E%3C/url%3E&rft_id=info:oai/&rft_pqid=910802949&rft_id=info:pmid/&rfr_iscdi=true