ABSTRACT
Latin America has the unenviable reputation of being one of the most unequal regions in the world. All Latin American countries exhibit levels of income inequality that exceed the average of each of the regions of the world except sub-Saharan Africa, while 10 Latin American countries are among the 15 most unequal in the world (CEPAL 2011; Gasparini and Lustig 2011). The Central American countries reproduce the high levels of inequality in the region. Medina and Galván (2008) use the statistical technique of optimum stratification to classify Latin American countries into groups according to their Gini coefficient of per caput family income. Costa Rica and El Salvador are positioned, along with Uruguay, among the countries with the lowest inequality in Latin America. At the other extreme, Guatemala and Honduras are positioned among the Latin American countries with the highest levels of inequality. Nicaragua falls in the middle inequality range.
