Assistant Professor Eduardo Montero Explores Results of Chagas Disease Campaign in Brazil in New Working Paper

In the 1980s, Brazil launched an ambitious campaign to eliminate Chagas disease, a neglected tropical disease (NTD) that primarily affects poor, non-white, and rural populations in Latin America. This disease, transmitted by a parasite carried by insects, causes chronic heart problems and disproportionally impacts marginalized communities. The campaign, which took place from 1984 to 1989, aimed not only to reduce the disease but also to improve the lives of those who suffered from it, with the hope of reducing Brazil’s severe and well-documented levels of inequality and poverty. 

A new research study coauthored by Assistant Professor Eduardo Montero finds the results of the campaign were profound. By targeting the primary vector of Chagas disease, Brazil successfully reduced its spread, which in turn had a lasting economic impact. Municipalities where the disease had been prevalent saw an 11.1% increase in GDP per capita, a substantial boost to those local economies. In addition, income inequality decreased by 1.1%, suggesting that the campaign helped to reduce the vast economic disparities between the country’s rich and poor.

“This paper has identified novel ways that improving health can generate inclusive growth in developing countries, helping to strengthen justifications for controlling transmission of not just this particular disease—which an estimated 6 million people throughout the Western Hemisphere suffer from and another 75 million are exposed to—but also all of the others neglected tropical diseases that cause chronic health problems among the poorest billion people on the planet,” Montero and his coauthor, Jon Denton-Schneider, an assistant professor of economics at Clark University, wrote.

The authors’ study also found the eradication campaign had a major impact on social mobility. Children who grew up without exposure to Chagas disease were more likely to see their parents—particularly non-white individuals—advance into higher income brackets. The proportion of non-white adults in the top half of the income distribution increased by 1.4 percentage points, while children of these adults also experienced improved literacy rates, rising by 0.4 percentage points. These improvements indicate that reducing the disease's impact could help break the cycle of poverty.

The country’s efforts showed important effects on racial dimensions of inequality, as well. “Exposure to the campaign in childhood raised adult incomes for non-white Brazilians, helping to increase the speed of racial convergence in a country with wide disparities,” the authors wrote.

Moreover, the economic benefits extended beyond individual prosperity. Public health spending on circulatory diseases decreased by 16%, reflecting the reduction in long-term health issues caused by Chagas disease. This led to a remarkable 24% internal rate of return on the campaign, demonstrating the fiscal advantages of investing in NTD control. The findings are especially timely given that Chagas disease, once confined to Latin America, is now spreading to the United States and other non-endemic regions due in part to climate change.

“Overall, the success of Brazil’s Chagas disease campaign reveals the potential of NTD control for fostering both economic growth and social equity in developing countries while also alleviating fiscal pressures on public health systems,” Montero concluded. “Academics and policymakers alike should continue to research and invest in interventions targeting NTDs, given the promise that controlling these diseases may have for developing countries and billions of people around the globe.”