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This chapter analyses and measures the redistributive effects of the participatory budgeting in Porto Alegre using data of the annual investment plans of the city of Porto Alegre in the period 1996-2005 and the number of public works during 1990-2004 to investigate whether the poorer regions received a larger share of the investment per capita. It shows that the direct democracy in Porto Alegre has had positive on the efficiency and redistribution. The chapter maps public investments in the different districts of Porto Alegre and relates them to average income of its inhabitants in the period from 1989 to 2004, roughly the time that the participatory budgeting was at its high.
Keywords: annual investment plans; direct democracy; participatory budgeting; Porto Alegre; redistributive effects