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Fragmentation makes it difficult for a non-consensual form to reach the central level, creating a policy challenge for national leaders.
The program attempts to both reduce short-term poverty by direct cash transfers and fight long-term poverty by increasing human capital among the poor through conditional cash transfers.Aside from the ability to bypass state involvement, there are additional enabling factors such as the interaction of a non-majoritarian system of government and fiscal incentives for central-local collaborations.Because of these factors, Bolsa Família helped reduce hunger and poverty.Bolsa Família currently gives families with per-capita monthly income below 0 BRL (poverty line, ~ USD) a monthly stipend of BRL (~ USD) per vaccinated child ( through so-called Citizen Cards which are mailed to the family.This card operates like a debit card and is issued by the Caixa Econômica Federal, a government-owned savings bank (the second largest bank in the country).This also meant the creation of a new Ministry – the Ministério do Desenvolvimento Social e Combate à Fome (Ministry for Social Development and Confronting Hunger).
This merger reduced administrative costs and also eased bureaucratic complexity for both the families involved and the administration of the program.
Bolsa Escola was superior to other programs because it applied to all citizens and both supported and was associated with education.
During Lula’s first administration, his goal was to create a social program to replace the three previously existing programs of Cardoso’s government.
Cash transfer programs had previously existed in the Cardoso administration - Bolsa Escola, Bolsa Alimentação, Auxílio Gás.
Most of these early programs faced internal organization challenges.
In the long term, the goal is to invest in human capital and interrupt the transgenerational cycle of poverty (i.e. Conditional cash transfer programs began to gain strength in 1997.