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Lula’s Social Policies: New Wine in Old Bottles?

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Author Info

  • Alcino Ferreira Câmara Neto
  • Matías Vernengo

Abstract

It has become common sense to argue that the reforms of social policies after the 1988 Constitution were somehow instrumental in explaining social progress, and that Lula’s policies mark a break with the 1988 Constitution. We suggest that both propositions are misleading. We argue that the financialization of government expenditures has led to worsening income distribution, and by limiting the ability of the state to increase social spending it has limited the ability of the state to reduce social inequalities. We argue that a recovery of Keynesian ideas about full employment and the euthanasia of the rentier are central for the development of a more just and civilized society in Brazil.

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Bibliographic Info

Paper provided by University of Utah, Department of Economics in its series Working Paper Series, Department of Economics, University of Utah with number 2006_07.

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Length: 28 pages
Date of creation: 2006
Date of revision:
Publication status: Published in Political Economy of Brazil, Philip Arestis and Alfredo Saad-Filho (eds.), London: Palgrave-Macmillan, 2008.
Handle: RePEc:uta:papers:2006_07

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Keywords: Income Inequality; Social Policies; Keynesian Policies;

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References

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  1. Alcino F. Câmara Neto & Matias Vernengo, 2004. "Fiscal Policy and the Washington Consensus: A Post Keynesian Perspective," Working Paper Series, Department of Economics, University of Utah 2004_09, University of Utah, Department of Economics.
  2. FranÁois Bourguignon & Francisco H. G. Ferreira & Phillippe G. Leite, 2003. "Conditional Cash Transfers, Schooling, and Child Labor: Micro-Simulating Brazil's Bolsa Escola Program," World Bank Economic Review, World Bank Group, vol. 17(2), pages 229-254, December.
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Cited by:
  1. Matias Vernengo, 2011. "The Brazilian Economy after Lula: What to Expect?," CESifo Forum, Ifo Institute for Economic Research at the University of Munich, vol. 12(1), pages 17-22, 03.

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