Abstract

The central pourpose of this research is to examine the links between asset holdings and poverty for the Chilean economy. The first section presents a review of previous poverty studies for Chile and offers a revised view of the evolution and characteristics of poverty in the last decade, including previously unpublished long term measurement data for Santiago. The second section analizes the relation between human capital and poverty for 1987 and 1996. This analysis is based on a careful estimation household assets through a valuation of available endowments for working age individuals, and corrected by labor participation choices. Evidence on the inter-generational transmission mechanism for assets is also presented on the basis of schools educational achievement.