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Family Inclusion BOLSA Brazil Family Inclusion Brazil Family Inclusion FAMÍLIA Brazil Family Inclusion Brazil Family Inclusion PROGRAM Brazil Family Inclusion Brazil Family Inclusion a decade Brazil of

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Family Inclusion BOLSA Brazil Family Inclusion Brazil Family Inclusion FAMÍLIA Brazil Family Inclusion Brazil Family Inclusion PROGRAM Brazil Family Inclusion Brazil Family Inclusion a decade Brazil of Family social Inclusion Brazil Family Inclusion inclusion Brazil in Family Brazil Inclusion Brazil Family Inclusion Executive Brazil Summary Family Inclusion Brazil Family Editors Inclusion Brazil Family Inclusion Brazil Tereza Campello Family Marcelo Côrtes Inclusion Neri Brazil Family Inclusion Brazil Family Inclusion BOLSA Brazil Family Inclusion Brazil Family Inclusion FAMÍLIA Brazil Family Inclusion Brazil Family Inclusion PROGRAM Brazil Family Inclusion Brazil Family Inclusion a decade Brazil of Family social Inclusion Brazil Family Inclusion inclusion Brazil in Family Brazil Inclusion Brazil Family Inclusion Executive Brazil Summary Family Inclusion Brazil Family Editors Inclusion Brazil Family Inclusion Brazil Tereza Campello Family Marcelo Côrtes Inclusion Neri Brazil Family Inclusion Brazil Federal Government of Brazil President of the Republic Dilma Rousseff Vice-President of the Republic Michel Temer Secretariat of Strategic Affairs of the Presidency of the Republic Minister Marcelo Côrtes Neri Ministry of Social Development and Fight Against Hunger Minister Tereza Campello Executive Secretary Marcelo Cardona Rocha A public foundation affiliated to the Secretariat of Strategic Affairs of the Presidency of the Republic, Ipea provides technical and institutional support to government actions enabling the formulation of numerous public policies and programs for Brazilian development and makes research and studies conducted by its staff available to society. President Sergei Suarez Dillon Soares Director of Institutional Development Luiz Cezar Loureiro de Azeredo Director of Studies and Policies of the State, Institutions and Democracy Daniel Ricardo de Castro Cerqueira Director of Macroeconomic Studies and Policies Cláudio Hamilton Matos dos Santos Director of Regional, Urban and Environmental Studies and Policies Rogério Boueri Miranda Director of Sectoral Studies and Policies, Innovation, Regulation and Infrastructure Fernanda De Negri National Secretary for Social Assistance Denise Ratmann Arruda Colin Secretary for Evaluation and Information Management Paulo de Martino Januzzi National Secretary for Food and Nutritional Security Arnoldo Anacleto de Campos Extraordinary Secretary for Overcoming Extreme Poverty Tiago Falcão National Secretariat of Citizenship Income Secretary Luis Henrique Paiva Deputy Secretary Letícia Bartholo Head of Department Unified Registry Claudia Regina Baddini Curralero Head of Department Operation Celso Lourenço Moreira Corrêa Head of Department Conditionalities Daniel de Aquino Ximenes Head of Department Benefits Walter Shigueru Emura Director of Social Studies and Policies, Deputy Carlos Henrique Leite Corseuil Director of International Studies, Political and Economic Relations Renato Coelho Baumann das Neves Chief of Staff Bernardo Abreu de Medeiros Chief Press and Communications Officer João Cláudio Garcia Rodrigues Lima URL: Ombudsman: Family Inclusion BOLSA Brazil Family Inclusion Brazil Family Inclusion FAMÍLIA Brazil Family Inclusion Brazil Family Inclusion PROGRAM Brazil Family Inclusion Brazil Family Inclusion a decade Brazil of Family social Inclusion Brazil Family Inclusion inclusion Brazil in Family Brazil Inclusion Brazil Family Inclusion Executive Brazil Summary Family Inclusion Brazil Family Editors Inclusion Brazil Family Inclusion Brazil Tereza Campello Family Marcelo Côrtes Inclusion Neri Brazil Family Inclusion Brazil Brasília, 2014 Institute for Applied Economic Research ipea 2014 Technical Information Editors Tereza Campello Marcelo Côrtes Neri Technical Coordination Letícia Bartholo Luis Henrique Paiva Marina Carvalho De Lorenzo Natália Massaco Koga Pedro Herculano Guimarães Ferreira de Souza Rafael Guerreiro Osorio Marcos Hecksher Technical Support Bruno Câmara Pinto Claudia Regina Baddini Curralero Daniel de Aquino Ximenes Elaine Cristina Lício Joana Brauer Juliana Demonte Moreira Monica Rodrigues Solange Teixeira Translation Pedro Arruda Tiago Bonomo International Policy Centre for Inclusive Growth Bolsa Família Program : a decade of social inclusion in Brazil : Executive Summary / Editors: Tereza Campello, Marcelo Côrtes Neri. Brasília : Ipea, p. : graphs., maps. Includes bibliography. 1. Social Policy. 2. Bolsa Família. 3. Social Programs. 4. Poverty. 5. Social Inequality. 6. Distribution of Income. 7. Brazil. I. Campello, Tereza Helena Gabrielli Barreto. III. Neri, Marcelo Côrtes. III. Institute for Applied Economic Research. CDD The opinions expressed in this publication are of exclusive responsibility of the authors, not necessarily expressing the official views of the Institute for Applied Economic Research, the Ministry of Social Development and Fight Against Hunger and the Secretariat of Strategic Affairs of the Presidency. Reproduction of this text and the data contained within it is allowed as long as the source is cited. Reproduction for commercial purposes is prohibited. TABLE OF CONTENTS INTRODUCTION... 9 SECTION 1 BOLSA FAMÍLIA TEN YEARS CONTRIBUTING TO SOCIAL POLICIES CHAPTER 1 A DECADE DEBUNKING MYTHS AND EXCEEDING EXPECTATIONS Tereza Campello CHAPTER 2 FROM BOLSA FAMÍLIA TO BRASIL SEM MISÉRIA: A SUMMARY OF BRAZIL S RECENT JOURNEY TOWARDS OVERCOMING EXTREME POVERTY Luis Henrique Paiva Tiago Falcão Letícia Bartholo CHAPTER 3 CONSTRUCTION PATH OF THE INTEGRATED MANAGEMENT OF THE UNIFIED SOCIAL ASSISTANCE SYSTEM (SUAS), THE UNIFIED REGISTRY FOR SOCIAL PROGRAMS (CADÚNICO) AND THE BOLSA FAMÍLIA PROGRAM (BFP) FOR THE CONSOLIDATION OF THE BRAZILIAN MODEL OF SOCIAL PROTECTION Denise Ratmann Arruda Colin Juliana Maria Fernandes Pereira Valéria Maria de Massarani Gonelli CHAPTER 4 POSSIBILITIES AND LIMITATIONS OF THE EXPANSION OF SOCIAL PROTECTION THROUGH CLASSIC CONTRIBUTORY SCHEMES: NOTES ON THE SOCIAL SECURITY INCLUSION OF THE POOR WORKING POPULATION Leonardo José Rolim Guimarães Rogério Nagamine Costanzi Graziela Ansiliero CHAPTER 5 THE ROLE OF THE HEALTH SECTOR IN THE BOLSA FAMÍLIA PROGRAM: HISTORY, RESULTS AND CHALLENGES FOR THE UNIFIED HEALTH SYSTEM (SISTEMA ÚNICO DE SAÚDE SUS) Helvécio Miranda Magalhães Júnior Patricia Constante Jaime Ana Maria Cavalcante de Lima CHAPTER 6 TEN YEARS OF THE BOLSA FAMÍLIA PROGRAM: CHALLENGES AND PROSPECTS FOR THE UNIVERSALIZATION OF BASIC EDUCATION IN BRAZIL Clélia Brandão Alvarenga Craveiro Daniel de Aquino Ximenes CHAPTER 7 SUBNATIONAL PAYMENT SYSTEMS BASED ON THE BOLSA FAMÍLIA Marcelo Côrtes Neri SECTION 2 PROFILE OF FAMILIES, RESULTS AND IMPACTS OF THE BOLSA FAMÍLIA CHAPTER 8 A PROFILE OF POVERTY IN BRAZIL AND ITS CHANGES BETWEEN 2003 AND Pedro Herculano Guimarães Ferreira de Souza Rafael Guerreiro Osorio CHAPTER 9 SOCIO-ECONOMIC PROFILE OF THE PROGRAMA BOLSA FAMÍLIA RECIPIENTS: WHAT DOES THE UNIFIED REGISTRY REVEAL? Camila Fracaro Camargo Claudia Regina Baddini Curralero Elaine Cristina Licio Joana Mostafa CHAPTER 10 BOLSA FAMÍLIA AND ITS IMPACTS ON THE LIVING CONDITIONS OF THE BRAZILIAN POPULATION: A SUMMARY OF THE MAIN FINDINGS OF THE II IMPACT ASSESSMENT RESEARCH OF THE BOLSA FAMÍLIA Paulo de Martino Jannuzzi Alexandro Rodrigues Pinto CHAPTER 11 MACROECONOMIC EFFECTS OF THE BOLSA FAMÍLIA PROGRAM: A COMPARATIVE ANALYSIS OF SOCIAL TRANSFERS Marcelo Côrtes Neri Fabio Monteiro Vaz Pedro Herculano Guimarães Ferreira de Souza CHAPTER 12 SOCIAL CASH TRANSFERS AND INEQUALITY IN BRAZIL ( ) Rodolfo Hoffmann CHAPTER 13 SOCIAL PROGRAMS AND THE RECENT DECLINE IN REGIONAL INCOME INEQUALITY IN BRAZIL Raul da Mota Silveira Neto Carlos Roberto Azzoni CHAPTER 14 THE BOLSA FAMÍLIA PROGRAM AND FERTILITY RATES IN BRAZIL José Eustáquio Diniz Alves Suzana Cavenaghi CHAPTER 15 EFFECTS OF THE BOLSA FAMÍLIA PROGRAM ON CHILD MORTALITY: AN ANALYSIS OF THE BRAZILIAN MUNICIPALITIES Davide Rasella Rosana Aquino Carlos A. T. Santos Rômulo Paes-Sousa Mauricio L. Barreto CHAPTER 16 LOWER INCIDENCE OF LOW BIRTH WEIGHT AMONG CHILDREN OF BENEFICIARY FAMILIES IN THE BOLSA FAMÍLIA PROGRAM Leonor Maria Pacheco Santos Frederico Guanais Denise Lopes Porto Otaliba Libânio de Morais Neto Antony Stevens Juan José Cortez-Escalante Lucia Modesto CHAPTER 17 PERFORMANCE OF BASIC CARE AMONG BOLSA FAMÍLIA BENEFICIARIES: CONTRIBUTIONS TO THE REDUCTION OF HEALTH INEQUALITIES Luiz Augusto Facchini Elaine Tomasi Fernando Vinholes Siqueira Elaine Thumé Denise Silva da Silveira Suele Manjourany Silva Duro CHAPTER 18 BOLSA FAMÍLIA AND GRADE REPETITION: RESULTS FROM THE UNIFIED REGISTRY, ATTENDANCE PROJECT AND SCHOOL CENSUS Luís Felipe Batista de Oliveira Sergei S. D. Soares CHAPTER 19 CONDITIONALITIES, SCHOOL PERFORMANCE AND PROGRESSION OF BOLSA FAMÍLIA PROGRAM RECIPIENTS Flávio Cireno Joana Silva Rafael Prado Proença CHAPTER 20 IMPACTS OF THE BOLSA FAMÍLIA ON THE ALLOCATION OF TIME BETWEEN WORK AND SCHOOL FOR CHILDREN AND ADOLESCENTS AGED 10 TO Fernando Gaiger Silveira Bernardo Campolina Ross van Horn CHAPTER 21 BOLSA FAMÍLIA, OCCUPATIONAL CHOICE AND INFORMALITY IN BRAZIL Ana Luiza Neves de Holanda Barbosa Carlos Henrique Leite Corseuil CHAPTER 22 LAZINESS EFFECT IN CONDITIONAL CASH TRANSFER PROGRAMS? Luís Felipe Batista de Oliveira Sergei S. D. Soares CHAPTER 23 FREEDOM, MONEY AND AUTONOMY: THE CASE OF BOLSA FAMÍLIA Walquíria Domingues Leão Rêgo Alessandro Pinzani SECTION 3 BOLSA FAMÍLIA CHALLENGES AND PERSPECTIVES CHAPTER 24 CONDITIONAL CASH TRANSFER PROGRAMS IN LATIN AMERICAN AND CARIBBEAN COUNTRIES: FROM INNOVATION TO CONSOLIDATION Simone Cecchini CHAPTER 25 CHALLENGES FOR THE DISSEMINATION OF THE EXPERIENCE OF THE BOLSA FAMÍLIA THROUGH INTERNATIONAL COOPERATION Marina Carvalho De Lorenzo CHAPTER 26 INCOME TRANSFERS FOR HUMAN DEVELOPMENT IN THE LONGER TERM Armando Barrientos CHAPTER 27 THE PROGRAMA BOLSA FAMÍLIA AND ITS RELEVANCE FOR THE ILO S CONCEPT OF THE SOCIAL PROTECTION FLOOR Helmut Schwarzer CHAPTER 28 CHALLENGES OF A PATH OF SUCCESS: TEN YEARS OF THE BFP Amélia Cohn CHAPTER 29 APPROXIMATING INTENT AND ACTION: BOLSA FAMÍLIA AND THE FUTURE Celia Lessa Kerstenetzky INTRODUCTION This publication presents summaries of the 29 chapters of the book Bolsa Família Program: a decade of inclusion and citizenship ( Programa Bolsa Família: uma década de inclusão e cidadania ), borne of a partnership between the Ministry of Social Development and Fight Against Hunger (Ministério do Desenvolvimento Social e Combate à Fome MDS) and the Institute for Applied Economic Research (Instituto de Pesquisa Econômica Aplicada Ipea). The complete volume, nearing 500 pages, was released in October 2013, on the tenth anniversary of the Bolsa Família Program (BFP). This executive summary, prepared in Portuguese and English, aims to expand the scope of the debate promoted by the book in Brazil and worldwide. Over the past ten years, a broad agenda of improvements has been fulfilled. Apart from bringing together existing distinct actions, the BFP has created a new structure, improved mechanisms, added benefits and expanded the coverage and the distributional impact of cash transfers. The program consolidated itself and has become central in Brazilian social policy. At the international level, it is now considered a model in conditional cash transfer technology and is among the most effective actions to combat poverty. Owing to its results, Brazil received the first ever Award for Outstanding Achievement from the International Social Security Association and became the headquarters of the World Without Poverty (WWP) initiative, which spreads knowledge on poverty eradication. Nearly 13.8 million households throughout the country participate in the program, a quarter of the Brazilian population. By the use of the Unified Registry for Social Programs (Cadastro Único or CadÚnico), an effective instrument of socioeconomic identification, and an ample set of benefits, it is possible for the BPF to relieve immediate material needs through the transfer of cash according to the different characteristics of each family. Furthermore, understanding that poverty reflects not only limited access to monetary income, the BFP supports the development of capacities of its beneficiaries by strengthening their access to health, education and social care, as well as providing access to a wide range of social programs. This work aims to share with society through studies on the program, discussing in a qualified and critical manner its achievements and challenges. It can be of interest to a varied audience: public managers in the three spheres of government involved in the operation of social policy or members of other branches related to the BFP; students and researchers; international organizations; social movements; and society in general. The MDS and Ipea thank the authors, who were able to produce creative, interesting and high quality texts in a short period of time, and also the technical team, who worked tirelessly on the task of organizing and consolidating this publication in different versions. Criticisms and reflections are the first step to improving the BFP and it is expected that this work will help cement the achievements made in the last ten years. This will serve as a benchmark from which the country s social policy will advance much further. Tereza Campello Minister of Social Development and Fight Against Hunger (Ministério do Desenvolvimento Social e Combate à Fome MDS) Marcelo Côrtes Neri Chief Minister of the Secretariat of Strategic Affairs of the Presidency of the Republic (Secretaria de Assuntos Estratégicos da Presidência da República SAE/PR) President of the Institute for Applied Economic Research (Instituto de Pesquisa Econômica Aplicada Ipea) 9 Family SECTION Inclusion Brazil 1 Family Inclusion Brazil Family BOLSA Inclusion FAMÍLIA Brazil TEN Family YEARS Inclusion Brazil Family CONTRIBUTING Inclusion Brazil TO SOCIAL Family POLICIES Inclusion Brazil A DECADE DEBUNKING MYTHS AND EXCEEDING EXPECTATIONS 1 Tereza Campello 2 Executive Summary CHAPTER 1 In 2003, the Bolsa Família Program (BFP) was taking its first steps, with a broad set of challenges still ahead. Its objectives were to contribute to the social inclusion of families constrained by extreme poverty by providing immediate relief to their situation, and to stimulate improvements to their education and health, in order to cease the intergenerational cycle of poverty reproduction. It was necessary to unify existing sectoral programs of cash transfer, consolidate the Unified Registry for Social Programs (Cadastro Único para Programas Sociais CadÚnico), create a federal strategy for its management, monitor the conditionalities and ensure supply and access to basic services. Ten years later, the objectives were fully achieved and, in most cases, surpassed. Based on its wide coverage, excellent focus and significant impacts on the living conditions of the population, the success of the BFP is evident. This author had the privilege of participating in a group formed in the Presidency, which was charged with preparing a draft of the BFP. This group, which included representatives from the ministries involved, was created in the beginning of Lula s government. There were a number of decisions that had to be made, many of them pertaining to lingering myths regarding the effects of a wide direct transfer program to the poorest citizens. Opting for monetary transfers to households created great controversy due to the lack of control over their use. Experience has shown that households not only spend correctly, but are also able to create financial plans that broaden their perspectives and opportunities. The belief that families would have more children to access more resources was also widespread. However, women who benefitted from the program increased their use of contraception. Fertility continues to decline and this trend has been greater among the poorest beneficiaries and the states with the highest coverage of the BFP. The third myth is that the BFP would cause apathetic behavior, generate dependency and discourage the work of adults. However, there is no evidence of a disincentive to work or formalize. The myth that the program would be a populist measure was also disproven. The BFP was consolidated, at an unavoidable level, as a State policy and a core element of Brazilian social protection. The direct payment provides transparency, reduces costs and strengthens autonomy. It is an institutionalized provision of access to rights that expands citizenship. These myths, products of conservative notions, are being left behind. The BFP strives to combat poverty and inequality, but in a decade of expansion and 1. Summary of Chapter 1 from the book Programa Bolsa Família: uma década de inclusão e cidadania, MDS/Ipea (Bolsa Família Program: a decade of inclusion and citizenship). 2. Minister of the Ministry of Social Development and Fight Against Hunger (Ministério de Desenvolvimento Social e Combate à Fome MDS). 13 improvements, the results far exceed what was initially expected. One could not foresee such an impact to the revitalization of depressed regions, to access to banking and commercial institutions, to credit or to planned consumption. No one could imagine how the stability generated by regular income would improve the quality of life. Nor could they imagine the degree of female empowerment that would result from the program s priority to women, holders of 93% of the cards. There is evidence that the BFP reduces the prevalence of low birth weight and infant mortality caused by infectious diseases, malnutrition or diarrhea. Basic health care was strengthened by the program s conditionalities, increasing breastfeeding and vaccination rates and reducing the hospitalization of children. With regard to education, the conditionalities helped to increase the percentage of boys and girls in school. Students that are part of the BFP are no longer at a disadvantage in terms of school evasion and approval. They now do as well as other students. The federal government invested in the operational and technical strengthening of the municipalities the program operates in all 5,570 municipalities of the country setting impersonal and transparent rules for registration. Enhanced and tested successively throughout the expansion of the BFP, the Unified Registry for Social Programs covers 40% of the population and now serves as a platform for other programs such as the Water for All (Água para Todos), Green Grant (Bolsa Verde), My Home, My Life (Minha Casa, Minha Vida), Popular Phone (Telefone Popular) and Social Tariff for Electricity (Tarifa Social de Energia Elétrica). The Brazil Without Extreme Poverty (Brasil Sem Miséria BSM) Plan, launched at the beginning of President Dilma Rousseff s term in 2011, strengthened its commitment to encourage growth with income distribution. It dared to go even further, proposing the ambitious challenge of overcoming extreme poverty. The plan is organized around three axes: the guarantee of income, which refers to the direct transfers for immediate relief of extreme poverty; productive inclusion, which provides opportunities for training and employment; and access to public services, that increases supply and induces priority service to those in greater need. With the Active Search, families living in extreme poverty that fall outside of the Unified Registry s coverage are found and included. Values were adjusted, coverage was increased and new benefits for pregnant and lactating women were added. The biggest change introduced by the BSM came in 2012, with the establishment of a benefit of variable amount depending on the severity of poverty. The lower the income, the higher the amount paid, so that all families benefiting from the program would exceed the extreme poverty line, fi
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