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How has the pandemic increased inequality in Brazil? I TO THE POINT

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Jornal O Globo

Published on Jun 16, 2021

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The economic recovery has brought Brazil's Gross Domestic Product (GDP) back to the level it was at the end of 2019, before the pandemic. However, the recovery is uneven, and it is precisely the poorest Brazilians who have benefited the least. An example of this is household consumption, which has remained stagnant, and unemployment, which has broken successive records. This scenario reinforces one of the country's oldest and most serious problems: inequality. According to a study produced by FGV Social, the average income is below R$1,000 for the first time. It shrank by 11%, but the decline was even greater for the poorest 50% of the population. In this group, which has a significant number of informal workers, income fell by almost 21% in the same period. FGV also measures satisfaction with current life, and the so-called perception of happiness also negatively impacted the poorest. The index had its worst result since the beginning of the historical series, in 2006. However, there was no change in this indicator for Brazilians with higher incomes. Meanwhile, in the case of the poorest, the drop was significant. The difference between the extremes went from 7.9%, in 2019, to 25.5% at the end of 2020. In Ao Ponto this Wednesday, economist Marcelo Neri, director of FGV Social and responsible for the research, explains why economic growth does not benefit the different social classes and points out what can curb the increase in inequality. Spotify (https://spoti.fi/2LWcVDG) iTunes (https://apple.co/2LUj2IJ) SUBSCRIBE TO O GLOBO: http://assineoglobo.globo.com/ SUBSCRIBE TO THE CHANNEL: http://bit.ly/2BQvqB4 THE WEBSITE: https://www.oglobo.globo.com FACEBOOK: / jornaloglobo TWITTER: / jornaloglobo

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