The Impact of the Covid Emergency Aid Transfers on Female Labor Supply in Brazil

In response to the Covid-19 pandemic, the Brazilian government implemented in April 2020 the Emergency Aid Transfer program  benefiting 68 million individuals with a transfer equivalent to 66% of the median wages. We evaluate the impact of this program on female labor supply using new longitudinal data and find a small negative  effect that declines over time. We conclude that unconditional cash transfer programs can have small labor supply effects, even during a pandemic.