• Categories
  • Archives

Instead of Waiting to Grow to Share Brazil Is Sharing to Grow, Says Lula

Conventional wisdom has it that you grow in order to distribute income. According to Brazilian President Luiz Inácio Lula da Silva, speaking on his weekly radio program, "Breakfast with the President" (Café com o Presidente), his administration has inverted the logic of the growth/distribution equation and is using social assistance programs to distribute income so the country can grow.

"Contrary to what they say, instead of waiting for growth so we can improve income distribution, we are distributing income so we can grow," said the president.

Lula cited the recent increase in the country’s minimum wage (up from US$ 138 to US$ 161) and the government’s family assistance program (Bolsa Famí­lia, Family Voucher) as examples of mechanisms that do not only promote social justice but create economical dynamics, as well. According to the president the rise in the minimum wage will inject US$ 6.9 billion in the economy.

Lula also pointed out that his administration negotiated with unions regarding the new minimum wage, something that had not taken place since 1964.

"Brazilian unions are mature. They know that a real increase of 13% with inflation at 4.5% is a good deal," concluded the president.

According to Lula, the increase of the country’s minimum wage would mean more food on Brazilian’s dinner tables.

"When we took office, the minimum wage could purchase 1.3 basic needs baskets (cestas básicas). Today the new minimum wage can buy a little more than two basic needs baskets – 2.2 of them, in fact…. That means the wage earner is taking home more food and his children are eating better," said the president.

Lula pointed out that the minimum wage was made law through a presidential decree because the Congress had been unable to vote on the measure.

Agência Brasil

Tags:

  • Show Comments (1)

  • Guest

    US$ 6.9 billions ?
    the cost of the increase in the minimu wage is
    Reais 5.2 billions and not US$ 5.9 billions as Lula pretends.
    At least this is what the government published here and there not so long ago.
    That makes quite an unexplained difference….once more.

Your email address will not be published. Required fields are marked *

comment *

  • name *

  • email *

  • website *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Ads

You May Also Like

Lula Can Campaign for His Pick for President But Only After Working Hours

The president of  Brazil, Luiz Inácio Lula da Silva, was authorized to participate in ...

Developing Countries Get Brazilian College Scholarships

Citizens from all over the developing world can apply for scholarships in masters and ...

Lula Is No Disease, Just the Symptom of a Decaying Brazil

Brazil’s President Lula da Silva is immersed in a seemingly endless corruption scandal; his ...

Brazil’s Lula Might Win Reelection and Still Lose His Mandate

Brazilian President Luiz Inácio Lula da Silva is headed toward a first-round victory Sunday ...

Cover of Quarteto Brasil's Bossa Nova/Delicado

Brazil’s Quarteto Brasil Turns in Crowning Performance

A highly respected pool of musicians known as Quarteto Brasil has just released Bossa ...

Brazilian Fishing Industry Hopes to Cash In on Bird Flu

A sharp increase in fish consumption, especially in Europe, caused by consumer bird flu ...

Brazil Gets Ready for National Referendum on Firearms

A year after arriving in the Chamber of Deputies, a bill authorizing a referendum ...

Brazil Tells the World Foot and Mouth Disease Is Under Control

Brazil’s Minister of Agriculture, Roberto Rodrigues, has announced the creation of a commission to ...

Experts Discuss How Good Is Brazil for Investors

In an investors roundtable in Brazil chaired by Dario Epstein, President of Sur Investments, ...

Brazil Brings World to Rio to Fight Child Prostitution

Nearly 3,000 people from five continents, 300 of whom are adolescents are being expected ...