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Economic, environmental, and spatial impacts of Brazil's Minha Casa Minha Vida program

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  • Marca, Luan
  • Tavares Vieira Braga, Luis Fernando
  • Fochezatto, Adelar
  • Alvim, Augusto Mussi

Abstract

This study provides a comprehensive evaluation of Brazil's flagship housing program, 'Minha Casa, Minha Vida' (PMCMV), examining its economic, environmental, and spatial impacts on municipal development. Using a two-stage empirical approach that combines difference-in-differences methods for staggered adoption with spatial econometrics, we analyze municipal panel data from 2005 to 2019. Results indicate that treated municipalities experienced significant economic gains, with per capita GDP increasing by approximately 7.7% and formal wages rising by 5.6%. The program also exhibited countercyclical properties during Brazil's 2014–2016 recession, sustaining local economic activity despite national contraction. Environmentally, we observe a net expansion of natural areas, suggesting potential benefits from housing formalization. These findings demonstrate that large-scale housing programs can function as multi-dimensional development tools. Policy implications highlight the importance of regional tailoring, environmental integration, and governance.

Suggested Citation

  • Marca, Luan & Tavares Vieira Braga, Luis Fernando & Fochezatto, Adelar & Alvim, Augusto Mussi, 2026. "Economic, environmental, and spatial impacts of Brazil's Minha Casa Minha Vida program," Land Use Policy, Elsevier, vol. 168(C).
    • Handle: RePEc:eee:lauspo:v:168:y:2026:i:c:s0264837726001651
    DOI: 10.1016/j.landusepol.2026.108081
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