EFFECTS OF THE BOLSA FAMÍLIA PROGRAM ON INCOME ANDCONSUMPTION IN BRAZILIAN MACROREGIONS
2018
This paper aims to analyze the impact of the Bolsa Familia Program on the
welfare, in terms of consumption, of Brazilian regions families, divided into ten income
groups. The guiding hypothesis is that the rate of return of each real transferred to
households through the Bolsa Familia Program on GDP is positive and greater than
unity. To achieve the proposed objectives, the analytical instrument used was the
General Equilibrium Analysis Project of the Brazilian Economy (PAEG), an analytical
set of static general equilibrium, multiregional and multisectoral. It was found that the
government transfer to households via the Bolsa Familia Program possesses minimum
direct effects, nevertless it raises the consumption of regional Brazilian families,
especially those in the low income classes. The program has a negative impact on
wages, which would reduce the effects of the smooth program in the long-term,
suggesting the need to adopt policies aimed at labor market to maintain the program
results.
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