The Effects of Economic Crises on Social Inequality: The 2008 Economic Crisis and Its Effect on Zapopan, México

By Máximo Ernesto Jaramillo Molina.

Published by The International Journal of Interdisciplinary Social and Community Studies

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Article: Electronic $US5.00

The purpose of this investigation is to identify the differential effects of economic crises on different social strata, and determine the dynamic of social inequality during these periods. This research focused on the 2008 economic crisis and the effect on households in Zapopan, part of the second most populated city of Mexico. We applied methodological triangulation combining: 1) Analysis of Macro-economic data from national institutions 2) A self-designed survey made and applied for our research 3) “In-depth interviews” for a qualitative approach to the social problem. As results, we obtained descriptions of the effects that an economic crisis may cause on the different social strata, statistical inferences to determine the most affected stratum, and descriptions of the effect that social policies can have to decrease the damage on each of the social strata. We concluded that, although the Gini coefficient showed decrease on economic inequality, the social inequality increases strongly when a country has an economic crisis. This happens because households on the bottom of social strata suffer the highest damage during such a crisis event, compared with the lower effect on high strata households. Furthermore, the applied social policies hadn´t a significant effect on decreasing damage caused by the economic crisis.

Keywords: Inequality, Crises, Social Policies, Households

The International Journal of Interdisciplinary Social and Community Studies, Volume 9, Issue 2, March 2015, pp.13-31. Article: Print (Spiral Bound). Article: Electronic (PDF File; 842.013KB).

Máximo Ernesto Jaramillo Molina

Master's Student, Centro Universitario de Ciencias Sociales y Humanidades. Maestría en Ciencia Sociales., Universidad de Guadalajara, Guadalajara, Jalisco, Mexico