Analytical Survey of the Relationship between Economic Growth and Income Distribution in Latin American Countries

The relationship between economic growth and income distribution is one of the most important issues for all countries especially developing economies. There are different and sometimes contradictory views about such relationship. This research tries to analytically study the relationship between economic growth and income distribution in Latin American countries. Two indicators، namely، ‘Gini Coefficient’ and ‘Income Deciles Desperation Ratio’ are used for this research. The results show that the relationship between the two mentioned phenomena was positive in some countries and negative in some others. Economic growth and income distribution were concurring in the same direction in some countries such as Brazil and Argentina in a country while in a country like Chile، the economic growth affected the income distribution under the government''s supportive measures. In short، since 2003، income distribution has stared a recovery trend in Latin American economies. A remarkable feature of this period is simultaneity of economic growth and the development of the government''s social protection measures.