Working Paper

On the Distributional Implications of Social Protection Reforms in Latin America

Abstract

The paper tracks recent changes in the components of social protection in Latin America, the reforms to social insurance in the 1990s and the growth of social assistance in the 2000s, and assesses their effects on poverty and inequality and implications for welfare institutions in the region. The analysis focuses on public subsidies to social protection and their rebalancing. The paper concludes that the expansion of social assistance in the region will result in social protection institutions which are more comprehensive and distributionally progressive