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OECD Economic Surveys: Chile 2012

image of OECD Economic Surveys: Chile 2012

OECD's 2012 Economic Survey of Chile examines recent economic developments and policies, progress in structural reform, reducing poverty in Chile through cash transfers and better jobs, and the housing market in Chile.

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Executive summary

Chile’s strong recovery lost some momentum as the world economy slowed, weakening copper prices and consumer confidence in Chile. Given considerable uncertainties regarding the health of the world economy, more supportive macroeconomic policies may be needed in the short run. In the longer run, reducing poverty and inequality is a key challenge. Both remain high by OECD standards, notwithstanding impressive progress. Redistributive transfers and progressive taxes are very limited. Better education and job opportunities for the poor would enable more Chileans to contribute to a more dynamic and productive economy and thus to higher welfare.

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