Structural Adjustment and the Globalization of Social Policy in Latin America

Abstract

The outstanding feature of economic globalization in Latin America is the application of neoliberal structural adjustment programs under the guidance of international financial agencies. These programs include state reform that redefines social policy and the role of state, markets and families in the satisfaction of social needs. This dual social policy aims at commodifying profitable social services and benefits and reducing public social services to a minimum for the very poor. These characteristics are analyzed specifically in the health services and social insurance reforms and poverty programs. Given the sustained increase in poverty and unemployment and falling family incomes, this policy aggravates the social crisis through simultaneous market and state `failure'.