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GTAP Resource #5602

"Structural impacts of a cash transfer program: an application of a SAM based CGE model for Brazil"
by Freire, Debora, Edson Domingues and Gustavo Britto

The aim of this study is to introduce a methodology to project impacts of cash transfers programs, which we exemplify through the evaluation of the Bolsa Família Program in a recent period of the Brazilian economy (2009-2015). An original dynamic recursive computable general equilibrium model, modified to consider issues related to income distribution and their impact on households consumption levels as well as on sectoral output was applied. The results suggest that the program also generates income gains for classes which do not receive cash transfers from Government by its indirect effects on labor and capital income, but has effects on labor income inequality decrease and on productive structure. We conclude that cash transfers policies have important impacts over the process of development of the country, even though its effect on growth is small.

Keywords: Cash transfer programs; Bolsa Família; Inequality; Consumption; Productive Structure; Computable General Equilibrium.

JEL: H53; O15; C60; C68.

Resource Details (Export Citation) GTAP Keywords
Category: 2018 Conference Paper
Status: Published
By/In: Presented at the 21st Annual Conference on Global Economic Analysis, Cartagena, Colombia
Date: 2018
Created: Freire, D. (4/15/2018)
Updated: Freire, D. (4/15/2018)
Visits: 1,668
- Dynamic modeling
- Economic development
- South America

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