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Authors: Carlos Sanchez, ORCID: https://orcid.org/0000-0003-3319-9303 PhD Candidate, Professor of Economics, Faculty of Economics, National University of Mexico, Mexico
Pages: 31-43 DOI: https://doi.org/10.21272/sec.4(2).31-43.2020
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Abstract
The article is devoted to the main preconditions for the emergence of poverty and inequality in the distribution of housing among the population in Mexico City. The article analyzes this issue under the influence of the evolutionary development of neoliberalism: deindustrialization, depopulation and poverty. The study proposes a definition of the poverty index induced by housing shortages, which is calculated as the difference between the average annual income in a given locality and the average annual level of rent, loan and housing loan, which is related to the cost of food and non-food products. The study was based on statistics on income and housing of 16 districts, grouped into three functional areas of Mexico City for the period from 2008 to 2015, and the source of the study – analytical reports of the National Institute of Statistics and Geography of Mexico. The results of the empirical study show that deindustrialization is determined by an increase in the share of the tertiary sector of the economy and at the same time a reduction in material production. These trends in the sectoral development of the economy have led to a concentration of services in the city and uneven regional development, which has been accompanied by increasing speculation in the real estate market and the lack of an effective state housing policy. It has been established that over the last decade, conditions have been created in central Mexico for the expulsion of local low-income groups and the involvement of people with greater financial means. At the same time, locals in the southern district of Mexico City find themselves in a situation of deep inequality compared to residents of other parts of the city, as its residents have enough income to meet basic needs, so they are on the brink of poverty and socially vulnerable. The results of the study can be useful for scientists and government officials to take a set of measures aimed at stimulating housing construction for the poor.
Keywords: poverty, inequality, housing, neoliberalism, Mexico.
JEL Classification: I32, P16, R21.
Cite as: Carlos Sanchez (2020). Poverty And Inequality In Access To Housing In Mexico City During Neoliberalism. SocioEconomic Challenges, 4(2), 31-43. https://doi.org/10.21272/sec.4(2).31-43.2020.
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