Income Mobility in Vulnerable Households
the Stabilizing Effect of the Universal Child Allowance and the Reduction of the Gender Income Instability Gap
Keywords:
Argentina, Labor Movement, Protest, StateAbstract
This paper connects two subjects that have been analyzed separately so far in our country: income mobility and social protection. Literature indicates that household income flux instability causes relevant welfare losses, in particular in the context of weak labor institutions and incomplete credit markets. At the same time, Argentina has shown important progress in social protection from the beginning of the 21st century, notably the implementation of the Universal Child Allowance (AUH), conceived as a permanent transfer. The contribution of this paper consists of evidence of a stabilizing effect of AUH on socially vulnerable households’ income. Additionally, we show that AUH contributes to the reduction of the gender income instability gap, even controlling for individual attributes and movements from and to the labor market.
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