Deza, Ma ía Cecilia; Dondo, Ma iana; Ja a, H. Xa ie ; Rod iguez, Da id; To es,
Ja ie
Wo king Pape
Assessing he ole o ax-bene i sys ems in educing he
gende income gap in La in Ame ica
IDB Wo king Pape Se ies, No. IDB-WP-1652
P o ided in Coope a ion wi h:
In e -Ame ican De elopmen Bank (IDB), Washing on, DC
Sugges ed Ci a ion: Deza, Ma ía Cecilia; Dondo, Ma iana; Ja a, H. Xa ie ; Rod iguez, Da id; To es,
Ja ie (2025) : Assessing he ole o ax-bene i sys ems in educing he gende income gap in La in
Ame ica, IDB Wo king Pape Se ies, No. IDB-WP-1652, In e -Ame ican De elopmen Bank (IDB),
Washing on, DC,
h ps://doi.o g/10.18235/0013356
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A
ssessing he Role o Tax-bene i S
y
s ems
in Reducing he Gende Income Gap
in La in Ame ica
Ma ía Cecilia Deza
Ma iana Dondo
H. Xa ie Ja a
Da id Rod íguez
Ja ie To es
WORKING PAPER No IDB-WP-1652
In e -
A
me ican De elopmen Bank
Gende and Di e si y Di ision
Janua y 2025
* In e -
A
me ican De elopmen Bank
** Uni e sidad Nacional de Río Neg o
*** London School o Economics
§ Uni e sidad Ex e nado de Colombia
§§ Uni e sidad del Pací ico
A
ssessing he Role o Tax-bene i S
y
s ems
in Reducing he Gende Income Gap
in La in Ame ica
Ma ía Cecilia Deza*
Ma iana Dondo**
H. Xa ie Ja a***
Da id Rod íguez§
J
a ie To es§§
In e -Ame ican De elopmen Bank
Gende and Di e si y Di ision
Janua y 2025
Ca aloging-in-Publica ion da a p o ided by he
In e -Ame ican De elopmen Bank
Felipe He e a Lib a y
Assessing he ole o ax-bene i sys ems in educing he gende income gap
in La in Ame ica / Ma ía Cecilia Deza, Ma iana Dondo, H. Xa ie Ja a, Da id
Rod íguez, Ja ie To es.
p. cm. — (IDB Wo king Pape Se ies ; 1652)
Includes bibliog aphic e e ences.
1. Cash ansac ions-La in Ame ica. 2. Income dis ibu ion-La in Ame ica. 3.
Taxa ion-La in Ame ica. 4. Gende mains eaming-Mexico. I. Deza, Ma ía
Cecilia. II. Dondo, Ma iana. III. Ja a H., Xa ie . IV. Rod íguez Gue e o, Da id.
V. To es, Ja ie . VI. In e -Ame ican De elopmen Bank. Gende and Di e si y
Di ision. VII. Se ies.
IDB-WP-1652
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1
Abs ac 1
This pape aims o assess he ex en o which cash ans e s, di ec axes, and social
con ibu ions help o educe gende income inequali ies in se en La in Ame ican
coun ies: A gen ina, Boli ia, Colombia, Ecuado , Mexico, Pe u, and U uguay. We
apply mic osimula ion echniques o household su ey da a and alloca e incomes
wi hin he household, assuming ha each pe son e ains he income hey ecei e
(e.g., ea nings, bene i s a ge ing mo he s) and pays axes and social insu ance
con ibu ions on an indi idual basis acco ding o each coun y’s ules. Then, we
compa e gende income a ios based on ma ke (be o e axes and bene i s) and
disposable (a e axes and bene i s) income. Ou esul s show ha , a he bo om
o he dis ibu ion, ax-bene i sys ems signi ican ly educe gende income
dispa i ies in mos coun ies due o he e ec o social assis ance bene i s ecei ed
by mo he s in poo households. Addi ionally, we ind ha women ha e
subs an ially highe po e y a es han men based on indi idual disposable income.
Gende di e ences in po e y ade away when income is pooled a he couple le el
and, e en mo e so, a he household le el.
JEL classi ica ions: D31, J16, J7, H24, I32, I38
Keywo ds: Taxes, Bene i s, Mic osimula ion, Gende gap, La in Ame ica
1 We a e g a e ul o pa icipan s a he In e -Ame ican De elopmen Bank’s Gende and Di e si y Knowledge
Ini ia i e Wo kshop “Pos -COVID-19 Employmen Reco e y o Women and Di e se Popula ions in La in Ame ica
and he Ca ibbean,” in pa icula o Ka en Ma ínez, Claudia Ma ínez, Raquel Fe nández, and Jeanne La o une, o
hei help ul commen s. Daniel Chá ez p o ided excellen esea ch assis ance. The usual disclaime applies.
Au ho s’ con ac in o ma ion:
Deza: In e -Ame ican De elopmen Bank, [email protected] g.
Dondo: Uni e sidad Nacional de Río Neg o, A gen ina, mdbuhle @un n.edu.a
Ja a: London School o Economics: h.x.ja a- [email p o ec ed].
Rod íguez: Uni e sidad Ex e nado de Colombia: da id. od iguez@uex e nado.edu.co.
To es (co esponding au ho ), Uni e sidad del Paci ico: [email p o ec ed].
2
1. In oduc ion
Despi e imp o emen s in e ms o emale labo o ce pa icipa ion and he educ ion in he gende
wage gap o e he las decades, gende dispa i ies pe sis in La in Ame ican labo ma ke s. In
2019, he gap in labo o ce pa icipa ion amoun ed o 21.6 pe cen age poin s (Güezmes, 2021),
in o mal employmen emained mo e p e alen among emale wo ke s (ILO, 2022b) and ma ke
pay emained lowe o women, wi h a gap ha ep esen s, on a e age, 13.5 pe cen o he sala y
o men (Vaca, 2019).
The li e a u e assessing he e olu ion and ac o s in luencing he gende gap in wo k and
wages in he egion is as (Blau and Kahn, 2017; Ch is o ides e al., 2013; Oli e i and Pe ongolo,
2008; Redmond and McGuinness, 2019, among o he s). Howe e , less is known abou he ole
played by he ax-bene i sys em in closing gende dispa i ies; ha is, when he analysis shi s om
ma ke income (p e- ax and bene i s) o disposable income (pos - ax and bene i s). Tax-bene i
sys ems could educe gende dispa i ies h ough wo channels. On he one hand, some cash
ans e s a e di ec ly a ge ed o women o bene i hem disp opo iona ely. On he o he hand, on
a e age, women ea n less han men and due o he p og essi i y o pe sonal income ax, men migh
be liable o pay mo e axes han women. Gi en he pe sis en gende dispa i ies in ea nings, closing
he gende income gap h ough he ax-bene i sys em could p o ide women wi h economic
eedom and decision-making powe o e household expenses. E idence o he gende ed e ec s
o he ax-bene i sys em has so a ocused on Eu opean coun ies and sugges s ha al hough axes
and ans e s signi ican ly educe gende income inequali y, hey do no ully compensa e o he
ini ial gende ea nings gap (A am and Popo a, 2021; Doo ley and Keane, 2023).
The aim o his pape is o assess he ex en o which ax-bene i sys ems con ibu e o
closing he gende income gap in se en La in Ame ican coun ies: A gen ina, Boli ia, Colombia,
Ecuado , Mexico, Pe u, and U uguay. These coun ies we e selec ed o co e a wide ange o cases
in e ms o emale labo o ce pa icipa ion, gende wage gap, and he edis ibu i e ole o ax-
bene i sys ems in La in Ame ica. Ha monized ax-bene i models ha e been ecen ly de eloped
o hese coun ies, which a e used in he analysis. In all hese coun ies, pe sonal income ax and
social insu ance con ibu ions a e assessed a he indi idual le el, and in mos o hem he main
social assis ance p og ams a e a ge ed o mo he s wi h child en.
Ou app oach consis s o using ax-bene i mic osimula ion applied o household su ey
da a o ob ain he dis ibu ion o indi idual disposable income unde a “no income sha ing”
3
assump ion; ha is, income sou ces whe e en i lemen is a he indi idual le el (e.g., ea nings o
indi idual-le el axes, indi idual bene i s) a e assigned o he pe son ecei ing hem, household
bene i s a ge ed o mo he s acco ding o he legisla ion a e alloca ed o hem, and o he bene i s
assessed a he household le el a e spli equally among household membe s. Using his measu e
o indi idual income, we assess he e ec o ax-bene i sys ems by compa ing he a ios o
women’s a e age income o men’s a e age income based on ma ke and disposable income, o
indi iduals be ween 18 and 60 yea s o age. Two ema ks a e wo h no ing. Fi s , he exe cise
assumes ha legal incidence co esponds o economic incidence in he case o bene i s. Fo social
insu ance con ibu ions and pe sonal income ax, he assump ion is pa ly elaxed as he p esence
o in o mali y is aken in o accoun in he simula ions, i.e., social insu ance con ibu ions and
pe sonal income ax a e simula ed only o indi iduals in o mal employmen . Second, in he case
o bene i s, ou alloca ion ule ocuses on he pe son who ecei es hem acco ding o he
legisla ion, as we a e unable o obse e how he bene i is spli wi hin he household. As such, he
o al amoun o bene i s a ge ed o mo he s is alloca ed o hem, al hough we do no claim ha he
bene i will be used only o hei own expenses.
Ou esul s show ha ax-bene i sys ems signi ican ly educe he gende gap a he bo om
o he income dis ibu ion in mos coun ies, due o he e ec o social assis ance bene i s ecei ed
by women wi h child en. A he op o he dis ibu ion, we obse e no e ec o di ec axes in
educing gende dispa i ies. Ou analysis u he highligh s ha po e y a es by gende a y
widely depending on he uni o assessmen used o agg ega e income. In line wi h p e ious
esea ch, we ind ha emale po e y a es a e signi ican ly la ge han hose o men when hey
a e calcula ed a he indi idual le el (see Ama an e e al., 2022). Addi ionally, we show ha gende
di e ences in po e y dec ease when income is pooled a he couple le el and, e en mo e so, a
he household le el. T adi ional measu es o po e y ac oss gende s migh he e o e hide gende
dispa i ies.
To he bes o ou knowledge, his is he i s pape ha assesses he ole o axes and
bene i s in educing he gende income gap in La in Ame ica. In pa icula , ecen ly de eloped
ax-bene i mic osimula ion models o La in Ame ican coun ies a e exploi ed o alloca e axes
and bene i s a he indi idual le el acco ding o he na ional ules go e ning hese ins umen s.
Ou analysis complemen s exis ing e o s o measu e he equalizing e ec o iscal policy in La in
4
Ame ica (e.g., Lus ig e al., 2023; Ba gain e al., 2024) bu om a gende pe spec i e.2 Ou wo k
also and ex ends ecen s udies ocusing on Eu opean coun ies and shows he mo e limi ed ole
o axes and bene i s in educing gende dispa i ies in La in Ame ica.
The pape is di ided in o six sec ions, wi h his in oduc ion being he i s . Sec ion 2
p esen s a e iew o he li e a u e on gende gaps and he ole o ax-bene i sys ems. In Sec ion 3,
we p o ide an o e iew o he cha ac e is ics o ax-bene i sys ems in he coun ies unde s udy.
Sec ion 4 p esen s he da a and me hodology used o assess he e ec o axes and bene i s on he
gende income gap. Sec ion 5 showcases ou main esul s, and Sec ion 6 concludes.
2. Li e a u e Re iew
2.1. The Gende Wo k and Wage Gap
Signi ican p og ess has been made owa ds con e gence in pa icipa ion and employmen a es in
La in Ame ica in he las 30 yea s.3 Howe e , gaps in labo o ce pa icipa ion emain. Be ween
2016 and 2018, women's labo o ce pa icipa ion in he egion a e aged a ound 50 pe cen ,
con as ing wi h app oxima ely 75 pe cen o men (Güezmes, 2021), wi h la ge di e ences ac oss
coun ies.4 In 2019, he gende labo o ce pa icipa ion gap anged om 9pp in Jamaica o 48pp
in Gua emala.5 Mo eo e , women ind employmen in he in o mal economy mo e equen ly han
men (Güezmes e al., 2022).6 Women a e also mo e likely o wo k in small i ms, in domes ic
wo k, and in unpaid amily wo k.7 As a esul , women end o pe cei e less income han men, i.e.,
women ea n a ound 13.5 pe cen less han men (Bando, 2019; Vaca, 2019).
2 The Commi men o Equi y (CEQ) ini ia i e uses in o ma ion on axes and ans e s epo ed di ec ly in su ey da a
o pe o m incidence analysis (Lus ig e al., 2023). I in o ma ion is no epo ed, o he me hods a e used o de i e
axes and ans e s (see Table B3 in Lus ig e al., 2023). Con a y o Lus ig e al. (2023) and in line wi h Ba gain e al.
(2024), we sys ema ically simula e axes and ans e s acco ding o hei go e ning ules based on ma ke income and
demog aphic in o ma ion om household su eys in each coun y unde s udy.
3 Women in La in Ame ica inc eased hei employmen a es as e han in any o he egion in he las 30 yea s.
4 The numbe comes om a weigh ed a e age o 24 La in Ame ican and Ca ibbean Coun ies.
5 In o ma ion om IDB’s eposi o y o social da a: h ps://sociome o.iadb.o g/es/public
6 The in o mal economy e e s o all economic ac i i ies by wo ke s who a e–in law o p ac ice–no co e ed o
insu icien ly co e ed by o mal a angemen s.
7 Fo ins ance, in Pe u, mo e han 20 pe cen o occupied women wo k in unpaid housewo k o as domes ic wo ke s,
compa ed o only 7 pe cen o men.
5
E en a e con olling o ac o s such as economic sec o , educa ion and expe ience, a
sizable gende wage gap emains unexplained.8 The unexplained gende wage gap p ima ily a ises
om di e ences in he e u ns o human capi al, no a ibu able o di e ences in p oduc i i y
le els (Gallego-G anados and Geye , 2015). Such unexplained wage gaps a e p ominen in high-,
middle-, and low-income coun ies and migh di e ac oss he income dis ibu ion (ILO, 2018).
The causes o he gende wage gap a e complex and can be desc ibed by a wide ange o ac o s,
om pay and job ask disc imina ion in he wo kplace a he op o he income dis ibu ion (“glass
ceiling e ec ”) o easons ela ed occupa ional choice, social p e e ences, and ins i u ions;
especially labo egula ions (Bando, 2019), long- e m penaliza ion o mo he hood, and p emiums
o a he hood ca e (ILO, 2018).9
In La in Ame ica, he gende gap no only impedes economic g ow h bu also discou ages
women om pa icipa ing in he labo ma ke , he eby causing an ine icien alloca ion o alen
esou ces (Agéno e al., 2018; Schobe and Win e -Ebme , 2009). Hence, unde s anding he ole
o ax-bene i sys ems in na owing he gende income gap is c i ical.10
2.2. Tax-bene i Sys ems and he Gende Income Gap
Taxes and bene i s can play an impo an ole in educing income po e y and inequali y. Fo La in
Ame ica, ecen s udies show ha di ec axes and cash ans e s educe income po e y and
inequali y bu o di e en ex en s ac oss coun ies and o a mo e limi ed ex en han in Eu opean
coun ies (A ancibia e al., 2019; Lus ig, 2023; Ba gain e al., 2017; Ba gain e al., 2024).11
Addi ionally, Rod íguez e al. (2022) show ha he eme gency ax-bene i policies implemen ed
8 Fo ins ance, Ñopo (2012) s udies he gende gap in Pe u om 1997 o 2009. He inds ha , when con olled by
demog aphic cha ac e is ics such as age and educa ion le el, a la ge p opo ion o he gap emains unexplained. In
ano he s udy, U quidi and Chalup (2023) ound ha he unexplained gap (no explained by he componen s o he
models, including educa ion, expe ience, pe sonal and amily cha ac e is ics, occupa ion, and occupa ional ca ego y,
economic ac i i y, among o he s) accoun s o mos o he gap.
9 The impac o he mo he hood penal y on gende wage gaps a ies be ween de eloped and de eloping coun ies. In
de eloped coun ies, i gene ally anges om 0 pe cen o close o 20 pe cen , while in de eloping coun ies he ange
can exceed 40 pe cen (G imshaw and Rube y, 2015). In La in Ame ica, mo he hood o en leads o educed labo
supply and a highe likelihood o mo he s adop ing lexible job a angemen s such as pa - ime jobs, sel -employmen ,
o in o mal employmen , esul ing in lowe wages compa ed o non-mo he s (Villanue a and Lin, 2020), al hough
he e is he e ogenei y ac oss coun ies (Pi as and Ripani, 2005).
10 E idence o Mo occo sugges s ha educing he gende gap in employmen by one qua e is associa ed wi h an
inc ease in GDP pe capi a o abou 10 pe cen (Ba gain and Lo Bue, 2021).
11 Ou s udy ocuses on he e ec o he di ec axes and cash ans e s on income ea ned in he labo ma ke . I does
no di ec ly inco po a e/mone ize go e nmen al se ices (such as educa ion o heal h). Howe e , we indi ec ly cap u e
hei (pe coun y) e ec , o he ex en ha hese se ices (such as educa ion) may lead o lowe wage gaps.
12
The models a e used o simula e he main componen s o disposable income in 2019 and
2020 in each coun y. Household disposable income is de ined as ma ke income ne o social
insu ance con ibu ions and di ec axes plus cash ans e s and public pensions.23 Mo e p ecisely,
he models ake he in o ma ion abou ma ke income and sociodemog aphic cha ac e is ics
di ec ly om he da a and based on his in o ma ion hey apply he policy ules o calcula e i)
employee social insu ance con ibu ions, ii) sel -employed social insu ance con ibu ions, iii)
pe sonal income ax, and i ) he main cash ans e p og ams in each coun y be o e and du ing
he pandemic (see Tables in he Appendix A). Due o da a limi a ions, some ax-bene i
ins umen s canno be simula ed bu hey a e included in disposable income i hey a e epo ed in
he da a. Such is he case o con ibu o y bene i s and public pensions which canno be simula ed
due o he lack o da a on con ibu ion his o ies. In he case o COVID- ela ed policies, bene i
amoun s o ax paymen s a e simula ed as a mon hly a e age o e he yea , conside ing he
du a ion o hese ins umen s acco ding o na ional legisla ion.24 Impo an ly, he mic osimula ion
models a e also used o alloca e household le el bene i s o speci ic indi iduals wi hin he
household o assess hei e ec on he gende income gap. The de ails o he speci ic alloca ion o
di e en income sou ces a e p o ided in he nex sec ion.
Assump ions and limi a ions. To accoun o he p esence o in o mal employmen in he
analysis, we ake a common app oach o simula e social insu ance con ibu ions and pe sonal
income ax only o o mal wo ke s. He e, we ollow he legalis ic iew o o mali y and conside
ha someone is in o mal employmen i hey ha e labo income and epo a ilia ion wi h social
secu i y in he su ey. An impo an limi a ion o ou s udy ela es o he unde es ima ion o social
insu ance con ibu ions and pe sonal income ax because o op income unde -co e age in
household su ey da a. Ou es ima es o he numbe o axpaye s ollow he ibu a y ules o each
coun y applied o he da a a ailable in household su eys (see Table A1). Al hough popula ion
o als a e consis en in household su eys, his migh no be he case o indi iduals iden i ied as
axpaye s in he simula ions, and he e migh be he e ogenei y ac oss coun ies. In gene al, ou
23 Ma ke income is de ined as he sum o employmen and sel -employmen income, bonuses, in-kind income, own
consump ion om sel -employmen ac i i ies, capi al and p ope y income, in e -household paymen s, p i a e
ans e s, minus alimony paymen s. Impu ed en is no included as pa o ma ke income. Co po a e income is no
included because i is no a ailable in he su eys.
24 Appendix B p o ides a lis o Co id Policies pe coun y.
13
simula ions show less han 10 pe cen o he popula ion paying pe sonal income ax.25 Thus, as
high ea ne s a e no well cap u ed in he da a, ou simula ions o social insu ance con ibu ions
and pe sonal income ax unde es ima e he e ec o hese ins umen s. As a esul , he e migh be
some bias in ou analysis o he ole o social insu ance con ibu ions and pe sonal income ax in
educing gende dispa i ies a he op o he income dis ibu ion. Ideally, analysis based on ax
eco ds da a could complemen he analysis p esen ed in his pape . Howe e , his is beyond he
scope o ou s udy.
4.3. Measu emen o Indi idual Disposable Income and he Gende Income Gap
Ou app oach consis s o compa ing di e ences in ma ke income (i.e., mainly ea nings) and
disposable income be ween men and women in each coun y. Fo his, we wo k unde he
assump ion o “no income sha ing” and he e o e equi e measu ing disposable income a he
indi idual le el. In his sec ion, we desc ibe he income spli ing ules acco ding o di e en
income sou ces. As men ioned abo e, we ocus on a sample o indi iduals be ween he ages o 18
and 60.
To measu e indi idual disposable income, he ollowing alloca ion ules a e aken. Fi s ,
ea nings and o he ma ke incomes (e.g., capi al and p ope y income) whe e en i lemen is de ined
a he indi idual le el a e assigned o he pe son ecei ing hem. The same ule is applied o
indi idual-le el bene i s such as public pensions, unemploymen , disabili y o pa en al lea e
bene i s. Second, acco ding o he legisla ion o each coun y unde analysis, pe sonal income ax
and social insu ance con ibu ions a e assessed a he indi idual le el. The e o e, we assign hei
own axes and social insu ance con ibu ions paymen s o each indi idual in he household.26 As
p e iously men ioned, pe sonal income ax and social insu ance con ibu ions a e calcula ed only
o o mal wo ke s.
The assignmen o cash ans e s wi hin he household, howe e , dese es mo e a en ion.
Some bene i s a e de ined a an indi idual le el (e.g., some non-con ibu o y pensions), in which
case hey a e assigned o he indi idual ecei ing hem. Howe e , some cash ans e s a e assessed
25 The excep ions a e Mexico (39 pe cen ) and U uguay (23 pe cen ). I is impo an , howe e , o highligh ha he
igu es es ima e he numbe o people who ac ually ha e o pay income ax, and no he numbe o people who ha e
o decla e income axes.
26 In he simula ions, only paymen s o a pe son’s own a ilia ion wi h social secu i y a e calcula ed. Social secu i y
paymen s made by a pe son o co e o he household membe s a e no conside ed.
14
a he household o amily le el, and we mus make some assump ions abou how hey a e alloca ed
among household membe s. Following he discussion in Sec ion 3, o mos cash ans e s in he
egion he legisla ion s ipula es ha he bene i is p e e en ially paid o he mo he in he amily
uni . In hose cases, we assign he whole bene i amoun o he mo he . Finally, all o he bene i s
assessed a he household le el a e assumed o be sha ed equally.27
Based on ou measu es o indi idual income, we a e in e es ed in assessing he e ec o
axes and bene i s on he gende income gap. Fo his, we will compa e ma ke income o
disposable income, as he di e ence be ween he wo e lec s he e ec o axes and bene i s. Mo e
p ecisely, we measu e gende inequali ies in income as he a io o women’s a e age income o
men’s a e age income, o ma ke and disposable income. The di e ence be ween hese wo a ios
e lec s he e ec o ax-bene i sys ems on he gende income gap. I he a io o women o men
disposable income is highe han ha based on ma ke income, his signals ha he ax-bene i
sys em dec eases he income gap be ween women and men.
Two impo an poin s ela ed o ou analysis a e wo h men ioning. Fi s , ou analysis
concen a es on he e ec o axes and bene i s on he aw gende income gap, as we do no explo e
gende di e ences condi ioned by any ac o s. Second, he gende gap in ma ke income and he
e ec o axes and bene i s migh a y ac oss demog aphic and income g oups. The e o e, in
addi ion o p o iding esul s o he ull sample, we also show income gende gaps ac oss speci ic
subg oups.
5. Empi ical Resul s
The empi ical esul s o ou analysis a e di ided in o h ee pa s. Fi s , we compa e he ela i e
impo ance o di e en income sou ces be ween men and women. Then, we assess he e ec o
axes and bene i s on he gende gap in incomes ac oss coun ies. Finally, we analyze di e ences
in po e y be ween men and women when income is measu ed a he le el o he indi idual, he
couple, o he household. As men ioned be o e, ou es ima ions a e ep esen a i e a he na ional
le el.
27 Tha is, we sha e “all he bene i s among all he adul s wi hin he household.” I he e a e mo e han wo, he bene i s
a e di ided among he numbe o adul s. No e ha his is he case only o a limi ed numbe o bene i s in he coun ies
unde s udy.
15
5.1. Rela i e Size o Income Sou ces by Gende
Figu e 1 shows he con ibu ion o di e en income componen s o indi idual disposable income,
by quin ile and gende in 2019 (see also Table C1 in Appendix C). The igu e dis inguishes among
six income sou ces: i) ea nings (da k blue ba s), ii) non-labo ma ke income (ligh g ay ba s), iii)
social insu ance con ibu ions, SIC, (whi e ba s), i ) di ec axes (da k g ay ba s), ) go e nmen
cash ans e s (black ba s), and i) public pensions (ligh blue ba s). The ela i e size o each
componen is measu ed as a pe cen age o he a e age indi idual disposable income (e.g., mean
indi idual ea nings di ided by mean indi idual disposable income). Di ec axes and social
insu ance con ibu ions a e shown as nega i e alues, as hey a e sub ac ed in he calcula ion o
disposable income. The esul s a e p esen ed o men and women sepa a ely and by quin iles o
pe capi a household disposable income. The use o household income quin iles o spli indi iduals
is mo i a ed by he ac ha ax-bene i policies, cash ans e s in pa icula , a e assessed a he
household le el e en i a ge ed o mo he s. Resul s o 2020 a e p esen ed in Figu e D1 in he
Appendix.
In all coun ies, ea nings is he componen ha weighs he mos in indi idual disposable
income o all quin iles, ega dless o gende . In all cases, i is highe o men han o women,
emains ela i ely s able be ween quin iles o men, bu inc eases wi h household income o
women, ep esen ing be ween 42.8 pe cen (Ecuado ) and 74.2 pe cen (Boli ia) o indi idual
disposable income o women in quin ile 1 o each p opo ions be ween 90.8 pe cen (Pe u) and
120.4 pe cen (U uguay) o disposable income o women in quin ile 5.
In e ms o bene i s, hei ela i e size is la ge o women a he bo om o he dis ibu ion.
They ep esen be ween 14 pe cen and 43 pe cen in he i s quin ile o A gen ina, Colombia,
Ecuado , Pe u, and Mexico, whe eas hey accoun o less han 10 pe cen o women’s income in
Boli ia and U uguay. Rega ding pensions, in all coun ies we ind ha hey weigh less o men
han o women. In Boli ia, Colombia, Ecuado , and Pe u, hey accoun o less han 4 pe cen o
indi idual disposable income in all quin iles. In Mexico, pensions inc ease wi h income o
women, eaching 6 pe cen in he i h quin ile. In A gen ina and U uguay, he ela i e size o
pension is la ge han in o he coun ies and dec eases wi h income o women.28
28 In A gen ina, he pension componen is no pu ely made o con ibu o y pensions. The pension sys em is pa ially
inanced om con ibu ions, bu access was ex ended o wo ke s who ha e no con ibu ed he equi ed yea s
(Mo a o ia p e isional). In addi ion, non-con ibu o y pensions o olde adul s (PUAM), mo he s o 7 o mo e
16
Figu e 1. Rela i e Size o Income Sou ces by Gende
and Household Income Quin iles, 2019
Sou ce: Au ho s’ o mula ion based on mic osimula ion models.
No e: Income quin iles a e calcula ed based on pe capi a household
disposable income. F s ands o emale, and M s ands o male.
child en and pensions o disabili y o in alidi y a e also pa o he pension componen in A gen ina and canno be
disagg ega ed in he da a.
17
In e ms o Social Insu ance Con ibu ions (SIC), we obse e ha hei ela i e size
inc eases wi h income in all coun ies. Thei incidence is smalle o women a he bo om o he
dis ibu ion, bu he ela i e size is mo e simila ac oss gende s a he op. These esul s can be
explained by he p esence o in o mal employmen , which is mo e p e alen among women a he
bo om o he dis ibu ion. In ac , U uguay and A gen ina s and ou , whe e he ela i e impo ance
o social insu ance con ibu ions is la ge , which is also explained by he la ge sha e o a ilia ion
o social secu i y (i.e., highe o mal employmen ) in hese coun ies ela i e o o he coun ies
unde analysis. In he bo om quin ile o A gen ina, SIC ep esen s 3 pe cen o indi idual
disposable income o women and 6.5 pe cen o men. The ela i e size o SIC is la ge in he
bo om quin ile o U uguay, ep esen ing 8.6 pe cen o women and 13 pe cen o men. A he
op, he ela i e size is simila ac oss gende s, eaching be ween 15 pe cen and 20 pe cen in
A gen ina and U uguay, espec i ely.
Finally, he ela i e size o di ec axes is, in gene al, modes in all coun ies. P e ious
esea ch has shown ha in LAC, a low sha e o he popula ion is liable o pe sonal income ax
compa ed o ad anced economies (A ancibia e al., 2019; Lus ig e al., 2017). The limi ed size o
pe sonal income ax (PIT) in La in Ame ica has been explained by he high le els o in o mal
employmen in he egion bu also by he high exemp ed h esholds and gene ous deduc ions which
a e pa o he design o his policy ins umen in he egion. As p e iously men ioned, he limi ed
e ec o PIT migh also e lec he ac ha high-income indi iduals a e no p ope ly co e ed by
household su ey da a. Figu e 1 shows ha , in A gen ina, Colombia, Ecuado , and Pe u, PIT
appea s o play a ole only o indi iduals in he op income quin ile. In U uguay and Mexico, he
con ibu ion o PIT is somewha mo e gene alized ac oss he income dis ibu ion, bu he highe
quin iles pay mo e axes due o he p og essi i y o his policy.29
5.2. The Gende Income Gap
We now u n o he analysis o he e ec o axes and bene i s on he gende income gap. Figu e 2
compa es ma ke income and disposable income gende a ios in all coun ies o 2019 and 2020.
As p e iously men ioned, he smalle he a ios, he la ge he income o men compa ed o ha o
29 I is impo an o men ion he weakness in he collec ion o income ax and social secu i y con ibu ions in La in
Ame ica ela i e o o he egions (OECD, 2020). Pe sonal income ax con ibu es an a e age o 8.6 pe cen o GDP
in OECD coun ies, while i only eaches 2 pe cen o GDP, on a e age, in La in Ame ica and he Ca ibbean. In he
case o SIC, he pe cen ages each 9.2 pe cen in OECD coun ies and 3.9 pe cen in LAC. Thus, we expec hem o
ha e a smalle edis ibu i e e ec ac oss gende s.
18
women. Taxes and bene i s educe he gende income gap i he gende income a io o disposable
income is la ge han ha o ma ke income. The a e age incomes o hese a ios a e only
condi ional on age (i.e., ou sample conside s all indi iduals aged be ween 18 o 60) and no on
labo s a us. The e o e, he a ios a e cap u ing simul aneously gende di e ences in ea nings and
gende gaps in employmen ; ha is, di e ences in ea nings among he wo king popula ion and
di e ences in ea nings be ween people in wo k and people ou wo k (i.e., women ou o wo k a e
pa o ou sample). We come back o his poin la e in he nex subsec ions.
We ind ha , o bo h 2019 and 2020, all coun ies ace a ma ked gende income gap.
Analyzing only ma ke income, we ind ha he a e age income o women in 2019 ep esen s
be ween 47 pe cen (in Mexico) and 69 pe cen (in U uguay) o he a e age income o men in ou
sample, hough he p ecision o ou es ima es a ies om coun y o coun y. In 2020, he gaps in
ma ke income in Ecuado and Colombia widen sligh ly, while hose o he o he coun ies close
sligh ly. Tha yea , he smalles gap was ound o U uguay, whe e he ma ke income o women
was equi alen o 70 pe cen o ha o men.
Figu e 2. Ma ke Income and Disposable Income Gende Ra ios
(women’s a e age income ela i e o men’s a e age income)
Sou ce: Au ho s’ o mula ion based on mic osimula ion models.
No e: The sample conside s indi iduals be ween he ages o 18 and 60 yea s old. 95%
con idence in e als a e p esen ed.
19
Figu e 2 u he shows ha he gende gap in disposable income is smalle han ha o
ma ke income in all coun ies. The gende income a io o disposable income in 2019 anges
be ween 0.49 in Mexico and 0.70 in U uguay. This poin s o a posi i e e ec o ax-bene i policies
in closing he gende gap in income. Howe e , wi h he excep ion o A gen ina in 2019, he
changes in he gende gap a e no s a is ically signi ican ; ha is, we canno asse whe he he ax-
bene i sys em educes he gende income gap o no . The e ec o he policy in A gen ina can
p obably be explained by he b oade co e age o he AUH (Asignación Uni e sal po Hijo)
p og am, which p io i izes mo he s as bene icia ies.
As p e iously men ioned, ou analysis elies on alloca ing income sou ces o indi iduals
acco ding o he legisla ion on ax-bene i ins umen s. In pa icula , bene i s a ge ed o mo he s
a e alloca ed o hem in ou simula ions. Howe e , i is possible ha epo ed in o ma ion o bene i
eceip in he su ey migh di e om he simula ions. To es his, Figu e A3 in he Appendix
compa ed disposable income gende a ios ob ained wi h simula ed and epo ed bene i s. The
esul s show ha simula ed and epo ed bene i s p o ide simila in o ma ion.
5.3. The Gende Income Gap by Household Income Deciles
The esul s p esen ed in he p e ious sec ion o he whole sample in each coun y migh mask
di e ences ac oss popula ion subg oups. In pa icula , he e ec o cash ans e s is expec ed o
be mo e p e alen a he bo om o he income dis ibu ion, whe eas social insu ance con ibu ions
and pe sonal income ax migh ha e a highe incidence a he op. Fo his eason, Figu e 3 p esen s
gende income a ios by income decile g oups o 2019, whe e deciles a e based on pe capi a
household disposable income. The analysis he e o e aims o compa e gende gaps be ween men
and women li ing in households loca ed in di e en pa s o he income dis ibu ion. The gende
composi ion ac oss deciles is no en i ely balanced. In he bo om decile, he sha e o women is
be ween 53 pe cen and 57 pe cen in all coun ies. In he op decile he sha e o women is sligh ly
lowe , be ween 45 pe cen and 49 pe cen . Table C2 in he Appendix p o ides in o ma ion abou
he gende composi ion deciles in each coun y. Figu e D2 in he Appendix eplica es he analysis
o 2020, and he pa e ns o he e ec s a e e y simila .
Figu e 3 shows ha he “ma ke income gap” displays, in gene al, simila beha io ac oss
deciles in all coun ies. The gende income a io om ma ke income emains oughly s able up o
he ou h decile and inc eases a e wa d; al hough i always emains below 0.85 o he uppe pa
20
o he household income dis ibu ion ( ha is, on a e age, as e en in he uppe deciles women’s
income is ne e highe han 85 pe cen o men’s income). This inding can be po en ially explained
by he changes in occupa ion p o iles ac oss he income dis ibu ion. Fo ins ance, women (and
men) in he poo es deciles a e employed in lowe -skilled occupa ions; wi hin hem, women a e
mo e likely o wo k in o mally and ha e ewe hou s han men o allow o non-paid home ca e
wo k, o simply be paid less o he same job because o non-obse able ac o s, such as biases
and cul u al pa e ns. As income g ows, howe e , women migh end o wo k ull- ime in o mal
employmen and p o essional occupa ions, as he household has he economic bu e s o inance
he necessa y suppo o home du ies. As such, he gende income gap dec eases.
Figu e 3 also shows ha , in almos all coun ies, axes and bene i s educe he gende gap
in he lowe income deciles; in pa icula in he i s one, while he e ec ades away p og essi ely
o become negligible in he highes deciles. To be speci ic, o he bo om decile o he income
dis ibu ion we ind ha in A gen ina, Colombia, Ecuado , Mexico, and Pe u, he ma ke income
a io and he disposable income a ios a e s a is ically di e en . This e lec s he ole o social
assis ance a ge ed o low-income mo he s wi h child en. As discussed in Sec ion 3, in mos
coun ies unde analysis, cash ans e p og ams ha e a componen des ined o women wi h
child en and by de aul , he bene i is paid o he mo he .
As p e iously men ioned, we ha e no es ic ed ou samples o indi iduals in wo k.
The e o e, ou esul s a e cap u ing simul aneously gende di e ences in ea nings and gende gaps
in employmen . To disen angle be ween he wo, Figu e 4 eplica es he analysis p o ided in Figu e
3 bu o a sample o indi iduals in wo k ( hose wi h posi i e labo income ega dless o he
numbe o hou s o wo k), aged be ween 18 and 60. Al hough he pa e ns a e simila o hose
based on he un es ic ed sample (Figu e 3), he e is a isible inc ease in women’s income ela i e
o men’s, pa icula ly o Boli ia, Colombia, Ecuado , and Pe u, and o he i s deciles. Tha is,
a p opo ion o he gende income di e ences obse ed in Figu e 3 o he poo es popula ion is
due o di e ences in he sha e o men and women who a e ou o wo k. In e es ingly, he educ ion
in he gende income gap ( om Figu e 3 o Figu e 4) is no ma ked o people in he middle o he
dis ibu ion (deciles 5 and 6).
Addi ionally, he ole o ax-bene i sys ems in educing he gende income gap is smalle
in Figu e 4 and only signi ican , a he bo om o he dis ibu ion, in A gen ina, Colombia, and
21
Mexico.30 This means ha he e ec obse ed in Figu e 3 is mainly d i en by he ole o cash
ans e s in educing he income gende gap o women ou o wo k ( a he han educing he
gende gap in ea nings o women in wo k.
Figu e 3. Ma ke Income and Disposable Income Gende Ra ios,
(women’s a e age income / men’s a e age income)
by Household Disposable Income Deciles, 2019
Sou ce: Au ho s’ o mula ion based on mic osimula ion models.
No e: The sample conside s indi iduals be ween he ages o 18 and 60
yea s old. 95% con idence in e als p esen ed.
30 To be speci ic, he di e ence be ween Figu es 3 and 4 is ha Figu e 3 includes people who a e ou o wo k (ei he
unemployed o no looking o a job).
28
5.5. Policy Implica ions
Based on he analysis p esen ed in his pape , we d aw some policy implica ions ela ed o gende
dispa i ies and he ole o axes and bene i s in educing he gende income gap in La in Ame ica.
A i s clea esul is he ma ked gap in ma ke income be ween men and women when conside ing
all hose aged 18 o 60 yea s, ega dless o labo s a us. The e o e, al hough ou analysis ocuses
on he ole o ax-bene i policies in educing gende dispa i ies, i is impo an o highligh he
need o conside policies o educe gende dispa i ies in he labo ma ke .
A second impo an esul is ha ax-bene i policies educe gende income dispa i ies.
Thei e ec is la ge and signi ican a he bo om o he household income dis ibu ion. Ye , he
di e en socio- iscal ins umen s show widely a ying e ec s. Fo ins ance, cash ans e s ha e a
la ge impac on he lowes income deciles and, i alloca ed o mo he s, hey ha e he e ec o
closing he gende gap. F om a policy pe spec i e, he esul s highligh he impo ance o
expanding cash ans e s wi h a gende pe spec i e. On he con a y, we ind ha SIC and income
axes ha e a limi ed con ibu ion o educing he gende gap in LAC coun ies, as a esul o low
le els o co e age (i.e., in o mali y and high exemp ed h esholds (see Ja a e al., 2023).
I also seems ad isable o conside di e en ways o measu ing po e y acco ding o
gende . In pa icula , ou esul s show ha la ge gende di e ences in po e y a e obse ed when
di e en income pooling assump ions a e used. The assump ion o ull income sha ing does no
allow o a p ecise measu emen o he phenomenon. Fo example, in cases whe e he e is no
equi able dis ibu ion wi hin he household, i he woman has no income, she would be poo bu
would no be de ec ed unde he assump ion o ull income pooling.
While mi iga ing he gende income gap is a desi able policy objec i e, a signi ican gap is
expec ed o emain e en i he ax-bene i sys em is s eng hened o educe bo h he wage and he
employmen gap. In he case o he la e , he p oblem o low emale labo o ce pa icipa ion
ela i e o men, is mul i ace ed in na u e and goes beyond he scope o iscal policies. As
men ioned in Sec ion 2, socioeconomic, cul u al and s uc u al ac o s a e impo an con ibu o s
o he decision aken by women o pa icipa e in he labo o ce. Women’s decision o pa icipa e
in he labo ma ke is in luenced by obse able pe sonal and amily decisions (such as in es ing
in educa ion o ha ing child en), household cha ac e is ics and composi ion (how many child en,
elde ly, o membe s wi h a disabili y li e in he household), he economic en i onmen ha
in luence employmen oppo uni ies and e u ns, access o ca e se ices, inancial inclusion, access
29
o social p o ec ion and a o dable childca e (Gon e o and Vezza, 2023). Addi ionally,
unobse able ac o s play a ole, such as social and cul u al no ms ha in luence p e e ences,
alues, cus oms, pe cep ions o oppo uni ies and gende oles.
While he abo emen ioned conside a ions a e impo an , we a gue ha iscal policies can
ha e a di ec in luence on he economic en i onmen h ough he ax and bene i sys em, as is he
case in ad anced economies. An e ec i e ax sys em could c ea e incen i es ha encou age
women’s pa icipa ion in he wo k o ce, and a well- a ge ed bene i sys em can complemen
women’s income and educe he gende income gap wi hou disincen i izing, and some imes while
encou aging, pa icipa ion in he labo o ce. Fo ins ance, he p o ision o inclusi e go e nmen
se ices, such as quali y educa ion, aining and employabili y se ices ocused on women, and
a o dable childca e can be conside ed, as well as in-kind ans e s ha can be inco po a ed in
u he analysis o he impac o a b oad ange o iscal policies on he gende income gap.
The e o e, iscal policies can cons i u e po en ial le e s o change ha could complemen b oade
socie al e o s.
6. Conclusions
This pape assesses he ex en o which ax-bene i sys ems con ibu e o educing he gende
income gap in La in Ame ica. Closing i , could p o ide women wi h economic eedom, and mo e
agency o e household expenses. Using a no el se o mic osimula ion models o La in Ame ica
and na ionally ep esen a i e household su eys, we calcula e dis ibu ions o indi idual
disposable income assuming “no income sha ing” wi hin he household. The ole o axes and
bene i s is assessed by compa ing gende income a ios ( emale o e male) om ma ke o
disposable income o indi iduals be ween he ages o 18 and 60, and by income subg oups.
We ind ha women’s ma ke incomes ep esen on a e age be ween 47 pe cen (Mexico)
and 69 pe cen (U uguay) o men’s ma ke incomes. In e es ingly, he analysis by income deciles
shows ha gende ma ke income a ios end o dec ease be ween he i s and second (some imes
hi d) decile. Gende dispa i ies s a o isibly educe a e he ou h decile, eaching a minimum
o he op deciles (nin h o en h). The gende ma ke income a io is a ound 0.85 o he op
deciles. Fu he mo e, we ind ha he ax-bene i policies signi ican ly educe gende income
dispa i ies in he lowe income deciles in A gen ina, Colombia, Ecuado , Mexico and Pe u. The
educ ion in he gende income gap a he bo om o he dis ibu ion is due o he ole o social
30
assis ance bene i s ecei ed by mo he s in poo households. Mo eo e , ou esul s show ha his
educ ion in he gende income gap is explained by he e ec o cash ans e s in educing income
di e ences due o he gende gap in employmen , a he han by he income gende gap among he
employed popula ion. A he op o he dis ibu ion, we obse e no e ec o di ec axes in educing
he gende income gap. The la e migh be due o he ac ha household su ey da a su e om
unde -co e age o high incomes and, he e o e, he ole o pe sonal income ax migh be
unde es ima ed in case he simula ions o he numbe o axpaye s may no ma ch adminis a i e
in o ma ion. S ill, ou indings o e aluable insigh s, and he unde -co e age o high incomes
mos likely does no a ec ou esul s ega ding he e ec s o ax-bene i policies in he lowe
income deciles.
Las ly, we ind la ge di e ences in po e y a es by gende calcula ed using indi idual
disposable income, wi h women always ha ing highe po e y a es han men. The po e y a e o
men is ela i ely simila ac oss coun ies (be ween 21 pe cen and 26 pe cen ); whe eas women’s
po e y a e a ies widely ( om a ound 39 pe cen o close o 60 pe cen ). Assuming income
pooling a he couple o household le el, ins ead, educes gende di e ences in po e y. As such,
we a gue ha using o al household income o de e mine membe s’ economic well-being may hide
economic gende dispa i ies.
31
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Appendix A.
Table A.1. Main Cha ac e is ics o Pe sonal Income Tax
in he Coun ies unde Analysis (2019)
Coun y Tax Uni Lowes ax
band limi
Highes ax
band limi
Lowes ax
a e (%)
Highes ax
a e (%)
Taxpaye s
(% o
Popula ion)
Tax deduc ions
A gen ina
indi idual
5
31
5
35
6.67
Family cha ges (child en and
pa ne no ea ning
incomes); gene al deduc ions
(expendi u es in heal h,
housing en al, among
o he s); special deduc ions
o labo income
Boli ia
indi idual
-
-
13 ( la )
-
1.13
All billed expendi u es
Colombia
indi idual
3.75
107
0
39
1.95
Expendi u es in educa ion,
heal h, mo gage paymen s,
expendi u es on dependen
ela i es
Ecuado
indi idual
2.4
24.4
0
35
2.95
Expendi u es in ood,
clo hing, educa ion, heal h,
and housing
Mexico
indi idual
0.18
93.1
1.92
35
38.97
Expendi u es in educa ion,
heal h, une al, expendi u es
on dependen ela i es
Pe u
indi idual
2.6
19.6
8
30
6.27
Billed expendi u es in en ,
and speci ic se ices (up o a
limi )
U uguay
indi idual
1.9
382
0
36
22.84
Child en cha ges
Sou ce: Au ho s’ o mula ion based on he 2019 legisla ion o pe sonal income ax, he legal
minimum wages in each coun y, each coun y da ase , and he SOUTHMOD coun y epo o
Boli ia (see A ancibia, C., and Macas, D. (2023) )
No e: Tax bands a e exp essed in e ms o annualized minimum wages in each coun y. The ax
a es e e o ma ginal ax a es.The “Taxpaye s ( % o Popula ion)” column e e s o es ima es o
he p opo ion o people o e 18 yea s o age who pay income based on “household su ey” da a
conside ing he minimum income equi ed o pay income axes.
44
pe cen educ ion in wo king ime and he consequen educ ion in labo income, wi h he bene i
amoun de ined as 25 pe cen o g oss income be o e educ ion; and ) a empo a y ax o public
wo ke s wi h mon hly incomes highe han $120,000 (US$2,857- Ap il and May 2020).
Mexico
No Co id-speci ic policies we e in oduced by he Mexican go e nmen . In 2020, he only policy
in oduced was C édi o a la palab a consis ing o a single loan paymen o business, o be epaid
in h ee yea s wi h an annual in e es a e o 6.5 pe cen .
45
Appendix C
Table C.1. Con ibu ion o Di e en Income Componen s o Indi idual Disposable Income, by Quin ile and Gende in 2019
Female
Male
Quin ile Labo Income
Non-
Labo
income
Social
Insu ance
Con .
Bene i s Pensions Income
Tax Labo
Income
Non-Labo
income
Social
Insu an
ce Con .
Bene i s Pensions Income
Tax
A gen ina
1
45.9%
5.9%
-3.2%
43.3%
8.2%
0.0%
100.2%
1.0%
-6.5%
2.3%
3.1%
-0.1%
2
71.5%
7.3%
-6.4%
18.5%
9.1%
0.0%
105.2%
0.6%
-9.4%
1.2%
2.6%
-0.1%
3
92.3%
6.7%
-11.1%
5.4%
6.9%
-0.1%
107.4%
1.2%
-12.0%
0.4%
3.4%
-0.2%
4
101.9%
6.6%
-13.7%
1.6%
4.0%
-0.4%
109.4%
2.4%
-13.9%
0.3%
2.5%
-0.8%
5
105.7%
7.8%
-14.7%
0.5%
5.1%
-4.3%
110.0%
7.3%
-14.0%
0.1%
3.0%
-6.4%
Boli ia
1
74.2%
23.1%
-1.0%
3.1%
0.7%
0.0%
102.2%
-1.8%
-1.3%
0.8%
0.2%
0.0%
2
77.4%
21.3%
-1.6%
2.0%
1.0%
0.0%
99.5%
1.5%
-2.0%
0.8%
0.3%
0.0%
3
85.6%
15.1%
-2.7%
0.9%
1.2%
0.0%
100.3%
1.4%
-3.2%
0.6%
1.0%
0.0%
4
91.9%
9.7%
-3.7%
1.0%
1.2%
0.0%
100.8%
2.0%
-4.1%
0.7%
0.7%
0.0%
5
92.9%
10.8%
-6.2%
0.7%
1.9%
-0.2%
101.6%
3.4%
-6.3%
0.4%
1.4%
-0.5%
Colombia
1
48.9%
25.6%
-1.9%
26.6%
0.8%
0.0%
94.4%
5.0%
-2.0%
2.3%
0.3%
0.0%
2
67.5%
19.2%
-2.8%
14.8%
1.3%
0.0%
98.0%
3.3%
-3.4%
1.4%
0.8%
0.0%
3
82.8%
14.1%
-4.4%
5.6%
1.8%
0.0%
98.7%
3.7%
-4.7%
0.8%
1.5%
0.0%
4
92.0%
11.4%
-5.9%
0.2%
2.4%
0.0%
98.7%
4.6%
-5.7%
0.1%
2.3%
0.0%
5
96.0%
10.2%
-7.5%
0.0%
3.3%
-2.0%
101.7%
6.3%
-7.5%
0.0%
2.4%
-3.0%
46
Female
Male
Quin ile Labo
Income
Non-Labo
income
Social
Insu an
ce Con .
Bene i s Pensions Income
Tax Labo Income Non-Labo
income
Social
Insu anc
e Con .
Bene i s Pensions Income
Tax
Ecuado
1
42.8%
17.8%
-1.0%
38.1%
2.2%
0.0%
93.3%
7.3%
-1.6%
0.7%
0.2%
0.0%
2
65.1%
20.3%
-1.9%
14.8%
1.7%
0.0%
95.1%
6.8%
-2.7%
0.3%
0.5%
0.0%
3
79.6%
15.4%
-3.4%
5.5%
2.9%
0.0%
98.3%
4.9%
-4.0%
0.2%
0.5%
0.0%
4
89.9%
12.5%
-5.4%
1.1%
1.9%
0.0%
99.5%
5.2%
-5.6%
0.0%
0.8%
0.0%
5
98.1%
10.0%
-8.3%
0.1%
1.8%
-1.6%
100.0%
7.1%
-8.2%
0.0%
3.2%
-2.0%
Mexico
1
64.6%
20.4%
0.4%
16.1%
1.2%
1.9%
92.7%
8.5%
-0.8%
2.1%
0.4%
-3.0%
2
79.0%
14.8%
0.8%
8.4%
1.3%
2.8%
96.5%
7.1%
-1.2%
1.7%
0.6%
-4.7%
3
85.8%
12.8%
1.2%
4.7%
2.0%
4.1%
98.8%
6.4%
-1.5%
1.4%
0.9%
-6.1%
4
92.6%
10.5%
1.8%
1.2%
3.0%
5.6%
100.2%
7.0%
-1.7%
1.0%
1.5%
-8.0%
5
94.9%
13.2%
2.2%
0.2%
5.7%
11.8%
102.2%
11.6%
-1.9%
0.2%
2.2%
-14.4%
Pe u
1
68.1%
18.6%
-1.2%
14.5%
0.0%
0.0%
96.7%
3.8%
-0.6%
0.0%
0.1%
0.0%
2
80.9%
17.5%
-1.7%
3.3%
0.1%
0.0%
96.7%
4.1%
-1.0%
0.0%
0.2%
0.0%
3
85.3%
15.6%
-2.0%
0.9%
0.2%
0.0%
96.3%
5.1%
-1.5%
0.0%
0.2%
0.0%
4
89.4%
13.1%
-2.8%
0.2%
0.1%
-0.1%
94.4%
7.0%
-1.6%
0.0%
0.5%
-0.3%
5
90.8%
13.4%
-2.2%
0.0%
0.2%
-2.3%
91.8%
11.2%
-1.4%
0.0%
0.9%
-2.5%
U uguay
1
70.9%
21.0%
-8.6%
9.4%
7.2%
-0.1%
100.4%
1.9%
-13.1%
6.8%
4.0%
-0.1%
2
93.2%
9.6%
-15.0%
5.8%
6.7%
-0.2%
108.9%
0.8%
-17.6%
4.1%
4.9%
-1.2%
3
105.1%
5.5%
-18.9%
4.6%
4.9%
-1.2%
112.1%
0.9%
-19.0%
3.8%
4.8%
-2.6%
4
112.4%
5.2%
-20.7%
3.0%
3.6%
-3.6%
116.3%
1.2%
-19.8%
3.7%
3.6%
-5.0%
5
120.4%
6.5%
-21.4%
2.8%
3.4%
-11.8%
126.4%
2.4%
-19.6%
2.3%
2.9%
-14.2%
47
Table C.2. Gende Composi ion o Each Decile G oup
(pe cen age o women by pe capi a household disposable income decile)
1
2
3
4
5
6
7
8
9
10
To al
A gen ina
56.9%
54.8%
53.1%
52.3%
50.4%
52.0%
51.1%
47.9%
49.4%
47.9%
51.4%
Boli ia
53.8%
55.3%
54.1%
53.2%
53.3%
53.7%
51.7%
49.4%
50.1%
45.1%
51.6%
Colombia
56.3%
54.2%
53.5%
52.3%
52.7%
51.8%
50.8%
49.4%
46.8%
48.2%
51.2%
Ecuado
53.0%
55.4%
54.2%
52.6%
51.8%
52.1%
50.9%
50.5%
48.0%
48.3%
51.4%
Mexico
56.4%
55.7%
54.7%
53.9%
53.8%
52.0%
50.9%
50.5%
50.6%
49.4%
52.5%
Pe u
53.5%
56.0%
54.9%
53.6%
53.7%
52.3%
51.5%
50.6%
50.3%
48.2%
52.2%
U uguay
55.8%
53.9%
52.6%
51.2%
50.6%
50.6%
49.4%
49.1%
48.2%
48.5%
50.8%
48
Appendix D.
Figu e D.1. Disposable Income Componen s, by Gende and Income Quin iles, 2020
Sou ce: Au ho s’ o mula ion based on mic osimula ion models.
No e: Income quin iles a e calcula ed based on pe capi a household
disposable income. F s ands o emale; M s ands o male.
49
Figu e D.2. Ma ke Income and Disposable Income Gende Ra ios
(women’s a e age income / men’s a e age income)
by Household Disposable Income Deciles, 2020
Sou ce: Au ho s’ o mula ion based on mic osimula ion models.
No e: The sample conside s indi iduals be ween he ages o 18 and 60 yea s old.
95% con idence in e als p esen ed.
50
Figu e D.3. Disposable Income Gende Ra ios wi h Obse ed and Simula ed Bene i s, 2019
Sou ce: Au ho s’ o mula ion based on mic osimula ion models.
No e: The sample conside s indi iduals be ween he ages o 18 and 60 yea s old. 95% con idence
in e als p esen ed.
