The impact of COVID-19 on inequality and poverty in Mexico
DOI:
https://doi.org/10.24201/ee.v36i1.416Keywords:
COVID-19, inequality, Mexico, poverty, microsimulationsAbstract
We use microsimulation to estimate the short-term distributional consequences of the COVID-19 pandemic in Mexico. Although the potential increase in poverty is significant, we find that compared to their pre-shock income, those who lost the most are the moderate poor and the vulnerable to poverty. We find that the impact on poverty is more severe for urban households. Poverty increases less for rural households and the indigenous population. Compared to Argentina, Brazil, and Colombia, Mexico stands out because the government did not introduce additional transfers to mitigate the impact of the pandemic on living standards.
Metrics
References
Bottan, N.L, D.A. Vera-Cossio, and B. Hoffmann. 2020. The unequal impact of the coronavirus pandemic: Evidence from seventeen developing countries, IADB Working Paper Series No. 1150.
Bourguignon, F. 2011. Status quo in the welfare analysis of tax reforms, Review of Income and Wealth, 57(4): 603-621.
Brussevich, M., E. Dabla-Norris, and S. Khalid. 2020. Teleworking is not working for the poor, the young, and the women, IMF Blog.
Busso, M., J. Camacho, J. Messina, and G. Montenegro. 2020. The challenge of protecting informal households during the COVID-19 pandemic: Evidence from Latin America, IADB Discussion Paper No. 780.
CONEVAL. 2020. La política social en el contexto de la pandemia por el virus SARS-CoV-2 (COVID-19) en México, Ciudad de México, CONEVAL.
ECLAC. 2020. Addressing the growing impact of COVID-19 with a view to reactivation with equality: New projections, Special Report COVID-19 No. 5.
Figari, F., A. Paulus, and H. Sutherland. 2015. Microsimulation and policy analysis, in A.B. Atkinson and F. Bourguignon (eds.), Handbook of Income Distribution, Vol. 2, 2143-2221, Elsevier.
Garrote Sanchez, D., N. Gomez Parra, C. Ozden, B. Rijkers, M. Viollaz, and H. Winkler. 2020. Who on earth can work from home? Policy Research Working Paper No. 9347, World Bank.
Gerszon, D., C. Lakner, A. Castaneda, and H. Wu. 2020. Updated estimates of the impact of COVID-19 on global poverty, World Bank Blogs.
Hufmann, C. and H. Nájera. 2020. Estimación del costo de eliminar la pobreza extrema por ingreso en México en tiempos de COVID, Programa Universitario de Estudios del Desarrollo, UNAM. http://www.pued.unam.mx/openc ms/difusion/pobreza.html.
IMF. 2020. World economic outlook update, June 2020, https://www.imf.org/en/Publications/WEO/Issues/2020/06/24/WEOUpdateJune2020.
INEGI. 2018. Encuesta nacional de ingresos y gastos de los hogares (ENIGH) 2018, https://www.inegi.org.mx/programas/enigh/nc/2018/.
INEGI. 2020. Resultados de la encuesta telefónica de ocupación y empleo (ETOE), cifras oportunas de junio de 2020, https://www.inegi.org.mx/contenidos/sa ladeprensa/boletines/2020/enoeie/ETOE2020 08.pdf.
Lakner, C., D.G. Mahler, M. Negre, and E.B. Prydz. 2020. How much does reducing inequality matter for global poverty? Global Poverty Monitoring Technical Note No. 13, World Bank.
Lustig, N. 2000. Crises and the poor: Socially responsible macroeconomics, Economía, 1(1): 1-30.
Lustig, N., V. Martinez-Pabon, F. Sanz, and S.D. Younger. 2020. The impact of COVID-19 lockdowns and expanded social assistance on inequality, poverty and mobility in Argentina, Brazil, Colombia and Mexico, COVID Economics: Vetted and Real-Time Papers, 46(1): 32-67, Center for Economic and Policy Research.
Pages, C., C. Aclan, M. Alfonso, R. Arroio, J. Irigoyen, I. Mejía, C. Mendieta, S. Moreno, A. Muente, S. Peñaherrera, C. Pombo, F. Regalia, W. Savedoff, E. Stein, and L. Tejerina. 2020. From lockdown to reopening: Strategic considerations for the resumption of activities in Latin America and the Caribbean within the framework of COVID-19, Washington D.C., IADB Monograph No. 814, Inter-American Development Bank.
Ravallion, M. 2003. Measuring aggregate welfare in developing countries: How well do national accounts and surveys agree? Review of Economics and Statistics, 85(3): 645-652.
Universidad Iberoamericana. 2020. Resultados actualizados de la “Encuesta de seguimiento de los efectos del COVID-19 en el bienestar de los hogares mexicanos”, Comunicados.
Wagstaff, A. 1986. The demand for health: Theory and applications, Journal of Epidemiology & Community Health, 40(1): 1-11.
World Bank. 2020. Macro poverty outlook: Country-by-country analysis and projections for the developing world.
Language
Search
Social Networks
Newsletter
Statistics
View 
Biblat Indicators 
Matomo
