The present study focuses on four mainobjectives. First, it presents an update of poverty, andincome distribution measures, reported in 1997 by the Bank;second, it looks at deficiencies in social services, and howto improve social services targeted to the poor; third, itconsiders how trends in income distribution could bemodified, if taking into account the transfer effect ofsocial programs; and, fourth, it looks at some specialissues that impact on poverty, namely unemployment, and theproblems of indigenous peoples. Given the relatively highlevels of unemployment, the persistence in educationaldeficits, and the low coverage of social programs amongstthe poor, recommendations suggest, respectively, a focus onrelevant, job creation aspects, in line with labor marketdemands, not merely responsive to the renewed economicgrowth, to include as well, further labor code, andunemployment insurance system reforms; efforts toconsolidate, and intensify the quality, and equity ineducation, particularly tertiary education to advanceChile's human capital; and, improved targeting ofsocial programs, with attention to regional disparities inthe allocation of social spending, particularly as itregards poverty among indigenous communities.
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