And although in the past they used to be a rural population, today half of the indigenous population reside in Santiago (Diaz Vidal, 2014). It reduces trust (Uslaner and Brown, 2005), which is an important driver of long-term growth (Horvath, 2012), it also increases the probability of rent-seeking and political and economic "capture” by the economic elite (OECD, 2015a). Furthermore, inequality reduces the capacity of the poorer segments of the population to invest in their skills and education (OECD, 2015b). Panel B: OECD estimations based on household surveys. Furthermore, recent research finds consistent evidence that high inequality can put a significant brake on long-term growth, and that efforts to reduce it through redistribution - taxes and benefits - do not necessarily lead to slower growth (Ostry et al.,