Inequality and fiscal pressure in South America between 2000-2020
DOI:
https://doi.org/10.18779/csye.v9i1.934Keywords:
inequality, tax pressure, multiple regressionAbstract
This article examines the relationship between the Gini coefficient and tax pressure in nine South American countries during the period 2000-2020, using a multiple regression model and controlling variables such as education spending, urbanization, working-age population, and the democratic development index. For the analysis, data from open sources of international organizations, including the Economic Commission for Latin America and the Caribbean (ECLAC) and the World Bank, were used. The results indicate that there is an inversely proportional and statistically significant relationship between inequality and tax pressure, suggesting that fiscal policies can be an effective tool to mitigate inequity. However, the strength of this relationship varies depending on the national context and the pre-existing structural conditions in each country. This underscores the importance of adopting comprehensive and personalized approaches to combat the root causes of inequality in the region.
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