nep-lam New Economics Papers
on Central and South America
Issue of 2009‒11‒27
six papers chosen by
Maximo Rossi
University of the Republic

  1. Adolescent Motherhood and Secondary Schooling in Chile By Kruger, Diana; Berthelon, Matias; Navia, Rodrigo
  2. The Evolution of Opportunities for Children in Chile 1990-2006 By Dante Contreras; Osvaldo Larragaña; Esteban Puentes; Tomás Rau
  3. Determinantes de los salarios por carrera By David Coble; Ricardo Elfernan; Joseph Ramos; Claudia Soto
  4. Satisfacción moral como variable explicativa de diferencias salariales en Chile By Isabel Asenjo; David Coble; Joseph Ramos; Valentina Rosselli
  5. Evidence for inequality of Opportunities. A Cohort analysis for Chile By Dante Contreras; Osvaldo Larragaña; Esteban Puentes; Tomás Rau
  6. Latin America: The Missing Financial Crisis By Porzecanski, Arturo C.

  1. By: Kruger, Diana (Universidad Catolica de Valparaiso, Chile); Berthelon, Matias (Universidad Catolica de Valparaiso, Chile); Navia, Rodrigo (Universidad Catolica de Valparaiso, Chile)
    Abstract: We analyze the determinants of adolescent motherhood and its subsequent effect on high school attendance and completion in Chile. Using eight rounds of household surveys, we find that adolescents who were born to teen mothers, those that live in poor households and in single-mother families, are more likely to have children, while access to full-time high schools reduces the likelihood of motherhood. We then estimate the effect of adolescent motherhood on the probability of high school attendance and completion. Using an instrumental variables approach to control for possible endogeneity between teen pregnancy and schooling, we find that being a mother reduces the probability of high school attendance and completion by 24 to 37 percent, making it the most important determinant of high school desertion, which implies that policies aimed at reducing early childbearing will have immediate, important effects on their school attainments.
    Keywords: adolescent motherhood, high school completion, high school desertion, Chile
    JEL: J13 O12 O15
    Date: 2009–11
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp4552&r=lam
  2. By: Dante Contreras; Osvaldo Larragaña; Esteban Puentes; Tomás Rau
    Abstract: In this article we apply some recently developed methodologies (Paes de Barros et al, 2008) tomeasure the evolution of the inequality of opportunity in Chile in the 1990-2006 period. Theopportunities are measured as intermediate outcomes for children such as access to preschool,access to sanitary infrastructure, nutritional status and timely completion of secondary education.The distribution of these varies with coverage rates and how they distribute according topopulation subgroups, grouped by circumstances. These circumstances are exogenous (to thechildren) factors that contribute to determining socioeconomic outcomes. The more unequal thedistribution of outcomes due to differences in circumstances, the more unequal the distribution ofopportunity in the country. The results show a reduction in the inequality of opportunity in theperiod analyzed. The gains are of two classes. First, there have been substantial increases in socialservice coverage leading to a general improvement in opportunities. Second, the gap in accessprobabilities among population subgroups have been reduced, making the playing field morebalanced.
    JEL: D31 D63
    Date: 2009–10
    URL: http://d.repec.org/n?u=RePEc:udc:wpaper:wp297&r=lam
  3. By: David Coble; Ricardo Elfernan; Joseph Ramos; Claudia Soto
    Abstract: Es sabido que existe una relación positiva entre la experiencia y el nivel educacional y elsalario. No obstante, también influyen en los salarios el talento nato y el capital familiar y social.Frente a esto es que surgen las interrogantes de ¿cuánto del mayor salario de las personaseducadas se debe a que tienen mayor talento nato? y ¿cuánto a que tienen más educación?Asimismo, algunas carreras (por ejemplo, las ingenierías) suelen pagar más que otras (porejemplo, pedagogía y psicología). De nuevo surge la pregunta de si una persona gana más queotra porque estudió cierta carrera o porque esa carrera requiere mayor talento y empuje y, por eso,paga más.
    JEL: J24
    Date: 2009–11
    URL: http://d.repec.org/n?u=RePEc:udc:wpaper:wp300&r=lam
  4. By: Isabel Asenjo; David Coble; Joseph Ramos; Valentina Rosselli
    Abstract: Es sabido que los salarios suben con educación y experiencia y en especial conla educación universitaria. No obstante aún así quedan muchos factores, sabidos osospechados como importantes cuyo impacto normalmente no podemos medir por nodisponer de la información. Es el caso, por ejemplo, de rasgos personales – comointeligencia y empeño, o de rasgos de capital social, como educación de los padres.Asimismo, hay evidencia internacional que en la medida que una persona derive unamayor satisfacción de su trabajo, por considerar que hace un mayor aporte a susociedad, estará dispuesto a aceptar un trabajo que pague menos por tener esacompensación moral. Este trabajo intenta medir la influencia de estos factores, sobre labase de información sobre el mercado laboral, derivado de las personas buscandotrabajo por medio de Trabajando.com, que se combina con la información del DEMREde la Universidad de Chile sobre su desempeño académico en la enseñanza media y sobre la educación de sus padres.
    JEL: J24
    Date: 2009–11
    URL: http://d.repec.org/n?u=RePEc:udc:wpaper:wp301&r=lam
  5. By: Dante Contreras; Osvaldo Larragaña; Esteban Puentes; Tomás Rau
    Abstract: In this paper we estimate the impact of inequality of opportunity on inequality of income in the Chilean economy. We focus on the distribution of individual labor income. It is found that the share ofoverall inequality which is due to inequality of opportunities is relatively high in Chile, but the degree ofoverall inequality is lower than in other countries in the region. It is also found that father?s education isthe circumstance that contributes the most to inequality of income in Chile. This variable is likely to behighly correlated with parental household income, which is a key determinant in the formation of earlyhuman capital through its impact on nutrition, health and education. We also conduct a cohort analysisto study the impact of opportunities on labor income inequality in three groups of workers : those thatare 25-34, 35-44 and 45-54 years old. We found that overall inequality increases with the age of the cohortand that the absolute contribution of opportunity in income inequality also increases with the age of the cohort. That the share of opportunity in income inequality is particularly low in the youngest cohort,may be associated to a more even playing ?eld resulting from the introduction of opportunity equalizingpolicies in the last decades. Further evidence for this latter hypothesis is provided by decomposing thechange in inequality across cohorts based on changes on circumstance endowments and returns, basedon the methodology introduced by Juhn, Murphy and Pierce (1994).
    JEL: D31 D63
    Date: 2009–10
    URL: http://d.repec.org/n?u=RePEc:udc:wpaper:wp298&r=lam
  6. By: Porzecanski, Arturo C.
    Abstract: The current episode (2007-09) may well be the first time since Latin America gained its independence in the early 1800s that a major economic contraction and financial calamity in the industrialized world has not caused a wave of currency, sovereign debt or banking crises in the region. What explains Latin America's unprecedented resilience in contrast with, for example, Eastern Europe's now-evident financial vulnerability? Here we review the enormous progress made by many governments in Latin America in the past decade to reduce currency mismatches, allow for more flexible exchange-rate regimes, enhance the capitalization, funding and supervision of their banking systems, encourage the development of local capital markets, and implement sounder and more credible monetary and fiscal policies. Evidently, it is not necessary to wait for an improved international financial regulation in order for reform-minded, well-managed countries to reap the most benefits from, and minimize the deleterious impact of market cycles typical of, financial globalization.
    Keywords: Latin America; financial crisis
    JEL: F34 F30 F41
    Date: 2009–10
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:18780&r=lam

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