The article describes several characteristics of the two most important targeted cash transfer programs in Brazil, the Continuous Cash Benefit (BPC) and the Bolsa Família Program (PBF), and discusses their institutional aspects, long term sustainability, beneficiaries and levels of targeting. It also addresses the need of feedback conditions, the effects of the transfers on the participation in the labor market and on the contributions for the pensions system. The conclusion is that, on the one hand, the programs are accomplishing the goals they were designed to, under costs which are compatible with the Brazilian budgetary capacity; on the other hand, they apparently have no negative effects on incentives to work and contributions to the pensions system.
Cash transfers; social assistance; poverty; social inequality; Bolsa Família; BPC
