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Two decades of tax-benefit reforms in Ecuador: How much have they contributed to poverty and inequality reduction?

2025· article· en· W4408392535 on OpenAlexfundno aff
H. Xavier Jara, Lourdes Montesdeoca, María Gabriela Colmenarez

Bibliographic record

VenueWorld Development · 2025
Typearticle
Languageen
FieldSocial Sciences
TopicIncome, Poverty, and Inequality
Canadian institutionsnot available
FundersJoint Research CentreUnited Nations University World Institute for Development Economics ResearchEconomic and Social Research InstituteLondon School of Economics and Political ScienceEuropean CommissionUniversité LavalHarvard University
KeywordsPoverty reductionInequalityEconomicsPovertyDevelopment economicsEconomic growth

Abstract

fetched live from OpenAlex

• Understanding the role of tax-benefit reforms in reducing income inequality and poverty over time is crucial to assess the effectiveness of government intervention. • We quantify the contribution of policy reforms to changes in poverty and inequality using decomposition methods based on counterfactual distributions. • Tax-benefit reforms introduced in four subperiods between 2003 and 2020 always contributed to the reduction of poverty and inequality in Ecuador. • The effect of the reforms on poverty was significant but limited, whereas the effect on inequality was significant only between 2003 and 2008. • The post-pandemic economic recovery was broadly due to an improvement of market income. The aim of this paper is to analyze the contribution of tax-benefit reforms to changes in income poverty and inequality in Ecuador from 2003 to 2022. For this, we use decomposition methods based on counterfactual distributions obtained using tax-benefit microsimulations which allow quantifying the relative contribution of policy reforms to changes in income poverty and inequality, compared to other contributors, including demographic characteristics and changes in the market income distribution. The focus is on changes over five subperiods, namely 2003–08, 2008–14, 2014–2019, 2019–20 and 2020–22. Our results show that tax-benefit reforms introduced between 2003 and 2020 contributed to the reduction of poverty and inequality in Ecuador, reinforcing the positive contribution of changes in market income and other population factors in all subperiods between 2003 and 2014, and mitigating the negative contribution of such factors between 2014 and 2020. Over the last period of analysis (2020–22), the post-pandemic economic recovery was broadly due to an improvement of market income with an almost nil contribution of tax-benefit reforms.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame machine prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. The Gemma side is a direct model label for every work in the frame, read from the title-only record. The Codex side is a classifier learned from the 10,348 direct Codex labels and calibrated to design-weighted sample rates; fields without enough sample support carry no Codex call. Candidate is the union of the two sides; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels.

metaresearch head score (Codex)0.002
metaresearch head score (Gemma)0.006
Version: metacan-v3-hybrid-931329e0061cValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Observational · Consensus signal: Observational
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.033
Threshold uncertainty score0.066

Distilled classifier scores by category (both heads)

CategoryCodexGemma
Metaresearch0.0020.006
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0000.001
Bibliometrics0.0010.001
Science and technology studies0.0010.001
Scholarly communication0.0010.002
Open science0.0010.001
Research integrity0.0010.001
Insufficient payload (model declined to judge)0.0030.000

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.026
GPT teacher head0.328
Teacher spread0.301 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one source (direct Gemma or distilled Codex), not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designObservational
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations2
Published2025
Admission routes1
Has abstractyes

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