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Though resource rich, Bolivia is one of the poorest countries in Latin America. In the 1980s the tin market collapsed, the currency dived, and inflation soared. Austerity measures restored some confidence, but at the cost of widening inequality. This was exacerbated when, at the behest of the US, coca growing, a prime source of income for the poor, was shut down.[1] There are also tensions over natural gas deposits, perhaps Bolivia's last remaining resource. And while GDP and GNI have both grown significantly since 2000,[2] severe disparities exist both regionally and ethnically. UNICEF reports that women and children are the most vulnerable group. In 2002, the percentage of the population living below the poverty line was 82% in rural areas and 54% in urban areas. The departments with the most poverty are Potosi, Chuquisaca and Pando, while Santa Cruz and Tarija have the least.[3]
The World Bank's Gini coefficient indicates that income inequality in Bolivia, estimated on the basis of size-adjusted household data, increased by almost ten percentage points between 1992 (49.1) and 1997 (58.2), where a value of 100 percent corresponds to the maximum income inequality and a value of zero percent to the minimum.[4][5] An increasingly unequal distribution of income is also recorded for the following years. This growth reaches its climax at the turn of the millennium, when 61.6 percent of total income was distributed unequally across households in Bolivia. However, the year 2000 also marks a remarkable turning point. For the following 18 years, the estimated inequality index shows decline without significant fluctuations and points to an actual income inequality of 42.2 percent in 2018. In summary, income inequality in Bolivia has decreased by 6.9 percent points for the period under consideration (1992-2018).
^"Bolivia country profile". 2 August 2012. Retrieved 15 January 2017.
^"World Bank Data/Bolivia". Retrieved 15 January 2017.
^"UNICEF/Situation of poverty in the country". Retrieved 15 January 2017.
^"Bases de Datos Encuestas Sociales". Instituto Nacional de Estadística. Gobierno de Estado Plurinacional de Bolivia. 2020. Retrieved 14 October 2020.
^"GINI index (World Bank estimate) - Bolivia". The World Bank, Development Research Group. Retrieved 14 October 2020.
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