Post on 22-Mar-2016
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Ecuador Conference Social Policy Expansion in Latin America
Candelaria GarayKennedy School of Government
Harvard University
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Expansion of Social Policy, South America and Mexico
• Expansion of transfers and social services for populations traditionally excluded from social policy (Labor-market outsiders)
• Transformation of the incomplete or truncated structure of social policy in the region
• Main innovations: old-age pensions, cash transfers for households with children below 18 and health services.
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Distinctive Features of New Benefits
• Meaningful scope of coverage• Limited discretion in access to benefits and
services• Positive social and economic effects in several
countries particularly concerning:– Infant mortality rates, school completion, income
inequality, income stability among poorest households, growing economic activity in backward areas.
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Population Excluded from Social Protection/Outsiders (percentage)
Argentina Chile Uruguay Brazil MexicoVenezuela Bolivia Ecuador Peru0
102030405060708090
100
c.1990 c. 2000 c.2010
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Pensions Non-contributory benefits for people 65+
Modes of expansion:
-Creation of a universal pension program
- Inclusion of outsiders in the existing contributory system (i.e., flexibilizing eligibility conditions)
-Creation of a targeted pension program for outsiders
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Outsiders 65+ Receiving Pension Benefits c. 2010 (percentage)
Bolivia
Argentina
Uruguay
Brazil
Ecuad
orChile
Mexico
Peru0
102030405060708090
100
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Cash Transfers for Households with Children
Cash transfers for households with school-age children often conditional on school attendance and health checkups.
Modes of expansion:-Extension of a pre-existing program of family allowances for insiders to outsider children.-Creation of a cash transfer program specifically for outsiders.
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Outsider Children Receiving Cash Transfers c. 2010 (percentage)
Bolivia
Brazil
Argentina
Uruguay
Chile
Ecuad
or
Mexico
Peru0
102030405060708090
100
Chart Title
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Health Services, c 2010
Coverage Payment SystemFree Services Partly Subsidized Services
BroadArgentina
Brazil Uruguay
Chile
Moderate/lowEcuador, Venezuela,
BoliviaMexico, Peru
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Future Social Agenda?• How to articulate contributory and non-
contributory components of new welfare regimes• How to better coordinate different levels of
government in the implementation of health services (funding, quality of services, oversight).
• Pending Issues:- Housing Policy- Youth (education, skill formation, and Jobs)
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Summary
OutsidersCoverage < 50% >50% <60% >60
> 70% ArgentinaUruguay
Brazil Bolivia
< 70% Chile Mexico Venezuela
Ecuador Peru