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dc.titleSocial Protection and Informality in Latin America during the COVID-19 Pandemic
dc.contributor.authorBusso, Matías
dc.contributor.authorCamacho, Juanita
dc.contributor.authorMessina, Julián
dc.contributor.authorMontenegro, Guadalupe
dc.contributor.orgunitDepartment of Research and Chief Economist
dc.coverageBrazil
dc.coverageColombia
dc.coverageDominican Republic
dc.coveragePeru
dc.coverageArgentina
dc.coverageUruguay
dc.coverageChile
dc.coverageBolivia
dc.coverageEl Salvador
dc.coverageEcuador
dc.coverageLatin America
dc.date.available2020-11-19T00:00:00
dc.date.issue2020-11-19T00:00:00
dc.description.abstractLatin American governments swiftly implemented income assistance programs to sustain families' livelihoods during COVID-19 stay-at-home orders. This paper analyzes the potential coverage and generosity of these measures and assesses the suitability of current safety nets to deal with unexpected negative income shocks in 10 Latin American countries. The expansion of pre-existing programs (most notably conditional cash transfers and non-contributory pensions) during the COVID-19 crisis was generally insufficient to compensate for the inability to work among the poorest segments of the population. When COVID-19 ad hoc programs are analyzed, the coverage and replacement rates of regular labor income among households in the first quintile of the country's labor income distribution increase substantially. Yet, these programs present substantial coverage challenges among families composed of fundamentally informal workers who are non-poor, but are at a high risk of poverty. These results highlight the limitations of the fragmented nature of social protection systems in the region.
dc.format.extent29
dc.identifier.doihttp://dx.doi.org/10.18235/0002865
dc.identifier.urlhttps://publications.iadb.org/publications/english/document/Social-Protection-and-Informality-in-Latin-America-during-the-COVID-19-Pandemic.pdf
dc.language.isoen
dc.mediumAdobe PDF
dc.publisherInter-American Development Bank
dc.subjectSocial Protection
dc.subjectSocial Security
dc.subjectPension Systems
dc.subjectInformal Labor
dc.subjectTransfer Program
dc.subjectCoronavirus
dc.subjectPandemics
dc.subjectReplacement Rate
dc.subjectLockdown
dc.subjectSocial Safety Net
dc.subjectIncome Support
dc.subject.jelcodeI38 - Government Policy • Provision and Effects of Welfare Programs
dc.subject.jelcodeO17 - Formal and Informal Sectors • Shadow Economy • Institutional Arrangements
dc.subject.jelcodeO15 - Human Resources • Human Development • Income Distribution • Migration
dc.subject.keywordsLatin America;Informality;COVID-19;social insurance
dc.typeWorking Papers
idb.identifier.pubnumberIDB-WP-01171
idb.operationRG-K1415
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