CLAT TEST PAPER NO.3
Passage 3 : The size of the workforce in Brazil, the number of kids at home and parents to sustain will obviously have a great impact on the extent of poverty in Brazilian households. In fact, the demographic transition that has been ongoing in Brazil for the past few decades has helped a lot in reducing poverty. Less children were born in poorer families and that's less children that ended up involved in street violence, drugs, gangs and so on. More parents were then able to push their kids to go to school and get an education. Of course, the situation is still pretty bad in Brazilian slums (favelas), but it's estimated that the demographic transition had an impact equivalent to + 0.5% in GDP growth, which is not bad at all considering that the average GDP growth (per capita) was about 3% per year at the time. And since this transition happened over 30 years, its impact on the economy is equal to around 15% of growth in GDP (over three decades). Overall, the change in the fa...