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Income inequality in Mexico, 1895-1940: industrialisation, revolution, institutions

Castañeda Garza, Diego and Bengtsson, Erik LU (2024) In Revista de Historia Economica - Journal of Iberian and Latin American Economic History 42(3). p.415-434
Abstract
This paper, building on new archival research and the social table method, presents comprehensive estimates of income inequality in Mexico in 1895, 1910, 1930 and 1940. Inequality grew from 1895 to 1910, driven by economic expansion within the context of an oligarchic economy. While real income increased for the lower classes during this period, the main beneficiaries were large landowners and entrepreneurs. In the revolutionary period from 1910 to 1930 inequality decreased especially as a result of land reforms, benefitting peasants at the expense of the large landowners. However, the economic structure of the country was not fundamentally changed, and in the 1930s inequality raised as incomes of peasants and those in the informal sector... (More)
This paper, building on new archival research and the social table method, presents comprehensive estimates of income inequality in Mexico in 1895, 1910, 1930 and 1940. Inequality grew from 1895 to 1910, driven by economic expansion within the context of an oligarchic economy. While real income increased for the lower classes during this period, the main beneficiaries were large landowners and entrepreneurs. In the revolutionary period from 1910 to 1930 inequality decreased especially as a result of land reforms, benefitting peasants at the expense of the large landowners. However, the economic structure of the country was not fundamentally changed, and in the 1930s inequality raised as incomes of peasants and those in the informal sector fell behind manufacturing and other high-earning sectors. The Mexican case shows the complex interaction of economics, demography and politics in determining economic inequality. (Less)
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author
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organization
publishing date
type
Contribution to journal
publication status
published
subject
keywords
income inequality, income distribution, Mexico, Mexican Revolution, D31, E01, N36, O15
in
Revista de Historia Economica - Journal of Iberian and Latin American Economic History
volume
42
issue
3
pages
415 - 434
publisher
Cambridge University Press
external identifiers
  • scopus:86000436267
ISSN
0212-6109
DOI
10.1017/S021261092400017X
language
English
LU publication?
yes
id
fa128046-8d4f-4ee9-ae8e-e8e1733050d5
date added to LUP
2025-01-29 09:56:02
date last changed
2025-06-03 09:22:24
@article{fa128046-8d4f-4ee9-ae8e-e8e1733050d5,
  abstract     = {{This paper, building on new archival research and the social table method, presents comprehensive estimates of income inequality in Mexico in 1895, 1910, 1930 and 1940. Inequality grew from 1895 to 1910, driven by economic expansion within the context of an oligarchic economy. While real income increased for the lower classes during this period, the main beneficiaries were large landowners and entrepreneurs. In the revolutionary period from 1910 to 1930 inequality decreased especially as a result of land reforms, benefitting peasants at the expense of the large landowners. However, the economic structure of the country was not fundamentally changed, and in the 1930s inequality raised as incomes of peasants and those in the informal sector fell behind manufacturing and other high-earning sectors. The Mexican case shows the complex interaction of economics, demography and politics in determining economic inequality.}},
  author       = {{Castañeda Garza, Diego and Bengtsson, Erik}},
  issn         = {{0212-6109}},
  keywords     = {{income inequality; income distribution; Mexico; Mexican Revolution; D31; E01; N36; O15}},
  language     = {{eng}},
  number       = {{3}},
  pages        = {{415--434}},
  publisher    = {{Cambridge University Press}},
  series       = {{Revista de Historia Economica - Journal of Iberian and Latin American Economic History}},
  title        = {{Income inequality in Mexico, 1895-1940: industrialisation, revolution, institutions}},
  url          = {{http://dx.doi.org/10.1017/S021261092400017X}},
  doi          = {{10.1017/S021261092400017X}},
  volume       = {{42}},
  year         = {{2024}},
}