Growth, Inequality, and Social Equity in Argentina

Abstract

The Argentine government has adopted a strategy that emphasizes rebuilding the economy with a view to delivering sustained growth with social inclusion - an appropriate goal in view of the high degree of poverty and inequality in the country. It is important to recognize that growth is not only essential, but that it is needed over sufficiently long periods and with sufficiently pro-poor impact so that all segments of the population can expect a notable improvement in their lives and their livelihoods. The first part of the recovery after the deep crisis in 2001 has been successful in delivering strong growth with positive effects on the living standards of the population, especially the poor. Nevertheless, the persistence of sound macroeconomic policies in the future, as well as the implementation of other key policies, will be crucial to observe high growth rates and further reductions in poverty and inequality.