Left Behind: Chronic Poverty in Latin America and the Caribbean
Renos Vakis, Jamele Rigolini, Leonardo Lucchetti
World Bank Group Publications
Chronic poverty raises perhaps the most complex and difficult challenge for governments around the world. Chronic poverty refers to those people that persistently live in low levels of welfare over long periods, as opposed to vulnerable populations that may get in and out of poverty due to shocks. Within generations, this manifests itself by the weak link between economic growth and the income generation capabilities that hinder individuals ability to integrate productively in society. <em>Left Behind: Chronic Poverty in Latin America and the Caribbean</em> is motivated by three questions: How many people live in chronic poverty in Latin America and the Caribbean? Who are they and how effective has been the policy toolkit in the region to address chronic poverty? This publication reviews the evolution of chronic poverty between 2004 and 2012 in Latin America and the Caribbean. From an inter-generational perspective, chronic poverty is associated with the long-term structural constraints that persist from one generation to the other, and can be framed as a problem of fairness or equality of opportunity. In addition to its links to the fairness of the social system and the capacity to move out of poverty, the chronicity or persistence of poverty also results from the lack of voice of some population groups and the lack of responsiveness of the political system to their needs. The nature and extent of chronic poverty are therefore multidimensional. Addressing chronic poverty thus requires a multi-layer, cross-sectoral policy approach that is tailored to specific manifestations of chronic poverty in a given context.