Richest Brazilians have income 36.1 times higher than poorer citizens

The richest one percent of Brazilians had made nearly $8 thousand a month last year—36.1 times higher than the poorest 50% of the population, with $220,50. In 2016, the richest made 36.3 times as much as the poor 50%.

The figures can be found in the survey Rendimento de todas as fontes 2017 (“Income from all sources 2017,” in a literal English translation), released today (Apr. 11) by the Brazilian Institute of Geography and Statistics (IBGE), and was based on the Continuous PNAD (National Household Sample Survey).

The study found that real monthly household income per capita in 2017 added up to $76.9 billion. Of this total, the ten percent richest had 43.3%. The poorest 10% had a mere 0.7% of the amount.

Inequality lingers on

These numbers show that inequality is still a major challenge in the country, said research coordinator Cimar Azeredo. They also reveal that the historic distortion in the labor market persists—the pay gap is still based on gender, race, and education.

Although the real income in Brazil averaged $636 per month, this amount stood at $704.78 among men, compared to $546.28 for women—77.5% of the income for men. In 2016, this proportion was even lower: 77.2%.

As for skin color and race, the IBGE found that the average real income among white people stood at $822.93 in 2017, higher that the income reported for brown ($469.66) and black ($459.13) people.

White women were seen to earn 29.2% more than the national average ($638.94), whereas brown and black women got 26.3% and 27.9% less than average, respectively.

Education

School proved to be a decisive factor: the higher the education level, the more likely a person’s income is going to be.

“The gap persists because, in Brazil, as is the case in other parts of the world, more pay is given to those with higher education levels. But the participation of non-white people holding a degree is considerably low in Brazil,” Azeredo added.

People with no education are reported to have a lower average income: $246.23—against $412.05 among those who graduated from primary school, up 67.3%.

The research study concluded that those with a university degree have an average income of approximately three times those who graduated from high school, and six times the people with no education.

Translated by Fabrício Ferreira