Ecuador, crecimiento económico en el contexto de desigualdad de ingresos 1990- 2017
2021
This work focuses on income inequality and its relationship with economic growth in
Ecuador between 1990 and 2017. As indicators of inequality in income distribution,
income concentration indices are used and as an indicator of economic growth, they
use the variation rates of GDP per capita. First, the study estimates the Lorenz curves
and the Top shares in the income of different percentages of the population for the
period, and then, through the work methodology presented by Barro (2000), evaluate
the relationship between the variables using an econometric modeling of the growth
rates of the economy as a function of indicators of the concentration of income and
other regressors. The result is that: between 1995-2003 and in turn between 2004-2011,
non-extreme inequalities drove growth, while extreme inequalities and income
concentration reduced economic growth. On the contrary, between 2011-2017 the
results suggest that extreme inequalities and concentration motivated growth, being in
turn a more equitable distribution of income and less inequality responsible for lower
growth.
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