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FGV-SP 2011

Brazil to eliminate extreme poverty by 2016
July 14, 2010.
Brazil will wipe out extreme poverty and cut the poverty rate to four percent by 2016, said a study released Tuesday by the country’s Institute of Applied Economic Research (IPEA). According to the IPEA, 10.5 percent of the country’s population are now considered as extremely poor, while 28.8 percent as poor. The poor families have a monthly per capita income of 255 reais (145 U.S. dollars), just half the minimum wage, while the extremely poor families have merely a quarter of the minimum wage, or 127.5 reais (72.85 U.S. dollars).

Poverty in Brazil has been on a fast decline in recent years. According to the IPEA, between 1955-2008, 12.8 million Brazilians were lifted out of poverty, while another 12.1 million were pulled out of extreme poverty. The figures represent a 33.6 percent fall in poverty rate and an almost 50 percent drop in extreme poverty rate.


Based on the Lula administration’s poverty reduction pace since it took office in 2003, the IPEA now estimates that extreme poverty may disappear in the country by 2016. The IPEA predicts that by 2012, extreme poverty will be wiped out in the states of Santa Catarina and Parana, both in the southern region. By 2014, extreme poverty will be eliminated in other five states.
Source: Xinhua


According to the text, IPEA forecasts that

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