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During the first decade of the 21st century, Latin American states expanded welfare policies, increasing social spending, improving coverage, and in some cases boosting the quality of social services. This expansion coincided with improvements in the region’s terms of trade, as the value of commodities such as copper, petroleum, and soy soared on international markets. When the region’s export-fueled growth slowed in 2012, many speculated that these gains might be lost, as politicians would be forced to make difficult decisions about how to allocate funds, perhaps engaging in cut-backs. This paper develops a new conceptualization of social policy expansion and retrenchment to assess the experience of Argentina, Brazil, Chile, and Uruguay in the post-commodity boom era.