INEQUALITY IN THE MONETARY AND FUNCTIONINGS SPACES: THE CASE OF PERU UNDER THE FIRST GARCIA GOVERNMENT (1985–1990)

Authors


Correspondence to: Francesco Burchi, Department of Economics, Roma Tre University, Via Luigi Capuana 22, 00137, Rome, Italy.

E-mail: fburchi@uniroma3.it; fra_burchi@hotmail.com

Abstract

In this article, we analyze inequality changes in Peru under the first Garcia government (1985–1990). Our findings indicate that stability in consumption inequality and a substantial decline in wealth inequality were achieved, probably thanks to the government's demand-led policies, despite their deleterious effects on other macroeconomic indicators. The following analysis reveals that inequality in most functionings, including overall well-being, diminished, as did geographical disparities. We thus offer here (i) a methodological contribution to the debate on inequality, stressing the need to go beyond consumption/income inequality if one wants to track inequality changes across time, and (ii) a contribution to the debate about the socioeconomic situation in Peru between 1985 and 1990. Copyright © 2011 John Wiley & Sons, Ltd.

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