Download or read book The Impacts of Trade Liberalization and Macroeconomic Instability on the Brazilian Economy written by Mauricio Vaz Lobo Bittencourt and published by . This book was released on 2004 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Abstract: After the creation of the Mercosur (Argentina, Brazil, Paraguay and Uruguay), in the beginning of the 1990s, new free trade agreements began to be debated between Mercosur and other countries. Traditional trade theory predicts that trade liberalization reallocates resources according to comparative advantage, reduces waste, and lowers the price of imported goods in a more transparent economic regime, with less lobbying activities, and exports not only grow rapidly, but also become more diversified. Most economists also share that open countries fare better in the long run than do closed ones, but the short run impacts from trade liberalization can harm the poor. Since Brazil is one of the countries with larger inequality in the distribution of income, with high levels of poverty and regional differences, this study takes these concerns seriously by assessing the economic impacts of a reduction in import tariffs on poverty and distribution of income, identifying a combined policy that can reduce possible negative impacts from trade reform on the poor, through a single-country multi-regional computable general equilibrium model (CGE) applied to Brazil. The main findings show that poverty and regional income inequality can be reduced through combined trade and tax policies. In recent years, countries like Argentina and Brazil have experienced many different economic crises due to their own domestic instabilities, which have contributed to delayed market opening in these countries, and have threatened the evolution of new trade agreements. This study also emphasizes the lack of macroeconomic policy coordination between Mercosur and the Free Trade Area of Americas (FTAA) countries, notably the exchange rate policy through the impact of real bilateral exchange rate volatility on trade. Therefore, a sectoral gravity model is estimated to evaluate not only the role played by the lack of macroeconomic policy coordination, but also to better evaluate the patterns of trade in the Mercosur and in the proposed FTAA. The overall results show that the reduction in the level of exchange rate volatility can increase bilateral trade, and gradual reduction in the level of tariffs and increase in countries' income are also important pro-trade variables.
Download or read book Trade Liberalization and MacRoeconomic Instability written by Mauricio Vaz Lobo Bittencourt and published by LAP Lambert Academic Publishing. This book was released on 2010-01 with total page 240 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Brazilian trade-oriented policies aim to reverse the negative effects of protectionist policies adopted in the past. Traditional trade theory predicts that trade liberalization brings efficiency, and open countries fare better in the long run than do closed ones, but the short run impacts from trade liberalization might harm the poor. In addition to Brazil having unequal regional distribution of income, with high levels of poverty, excessive price and exchange rate volatility caused by uncoordinated macroeconomic policies among trade partners can affect trade and resource allocation among members of a free trade area. This book takes these concerns seriously by assessing the economic impacts of a reduction in import tariffs on poverty and distribution of income, and also evaluates the role played by the lack of macroeconomic policy coordination and the patterns of trade in the Mercosur and in the proposed FTAA. Poverty and regional income inequality can be reduced through combined trade and tax policies. Less exchange rate volatility can increase bilateral trade. Reduction in the level of tariffs and increase in countries' income are also important pro-trade variables.
Download or read book Macroeconomic Instability and Trade Liberalization in Brazil written by Regis Bonelli and published by . This book was released on 1992 with total page 68 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Brazil s Trade Liberalization and Growth written by Maurício Mesquita Moreira and published by BID-INTAL. This book was released on 2004 with total page 31 pages. Available in PDF, EPUB and Kindle. Book excerpt: Unfulfilled expectations about economic growth in Brazil has led many observers to question the ability of the new, open trade regime to put the economy back on an path of sustainable growth. Whereas the country's growth record has been really poor, the evidence suggests that the underlying causes had nothing to do with trade. Quite the contrary. This paper shows that trade liberalization has given an important contribution to two of the main drivers of growth: productivity and investment in physical capital. It argues that these gains were not turned into growth due to an unfavorable macro and institutional environment. It also claims that Brazil could have enjoyed more gains from trade, had it pursued a more aggressive trade policy at home and abroad. The paper concludes by outlining the main issues of a pro-growth, trade policy agenda for the country.
Download or read book Brazil as an Economic Superpower written by Lael Brainard and published by Rowman & Littlefield. This book was released on 2009-09-01 with total page 305 pages. Available in PDF, EPUB and Kindle. Book excerpt: In Brazil, the confluence of strong global demand for the country's major products, global successes for its major corporations, and steady results from its economic policies is building confidence and even reviving dreams of grandeza—the greatness that has proven elusive in the past. Even as the current economic crisis tempers expectations of the future, the trends identified in this book suggest that Brazil will continue its path toward becoming a leading economic power in the future. Once seen as an economic backwater, Brazil now occupies key niches in energy, agriculture, service industries, and even high technology. Yet Latin America's largest nation still struggles with endemic inequality issues and deep-seated ambivalence toward global economic integration. Scholars and policy practitioners from Brazil, the United States, and Europe recently gathered to investigate the present state and likely future of the Brazilian economy. This important volume is the timely result. In Brazil as an Economic Superpower? international authorities focus on five key topics: agribusiness, energy, trade, social investment, and multinational corporations. Their analyses and expertise provide not only a unique and authoritative picture of the Brazilian economy but also a useful lens through which to view the changing global economy as a whole.
Download or read book Economic Instability Market Opening and Adjustment Strategy in the Brazilian Industry written by Francisco Lima Teixeira and published by . This book was released on 1998 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Following the external debt crisis of 1982, the Brazilian economy entered a period of profound macroeconomic instability, in spite of successive economic plans and policies aimed at stabilization. From the end of the 80's, a new development strategy started to emerge. Since then, trade liberalization has been increased, privatization carried out and free market mechanisms enforced, exposing the local industry to full international competition. However, stability and economic growth were only partially achieved with the Plano Real of 1994. Throughout this process, Brazilian industry has developed a varied adjustment behavior in order to cope with internal macroeconomic changes and external competition. The objective of this paper is to discuss the impacts on the structure of Brazilian industry of the adjustment process it has been through since the early eighties. In order to do that, first, a brief characterization of the institutional changes and the macroeconomic background against which the adjustment process took place is presented. Second, the adjustment strategies adopted by firms aiming at surviving under a hostile environment are reviewed and their main results and problems analyzed. Finally, based on exports and imports time series and on investment data, the impacts of these changes on the structure of Brazilian industry and its future prospects are discussed.
Download or read book Financial Liberalization and Economic Performance written by Luiz Fernando de Paula and published by Routledge. This book was released on 2012-07-26 with total page 274 pages. Available in PDF, EPUB and Kindle. Book excerpt: Since the beginning of the 1990s, Brazil has followed a pattern of economic development inspired by Washington Consensus. This framework includes a set of liberalising and market friendly policies such as privatisation, trade liberalization, stimulus to foreign direct investment, tax reform, and social security reforms. This book assesses the determinants and impacts of financial liberalisation in Brazil considering its two dimensions: the opening up of the balance of payments capital account, and the penetration by foreign bank of the domestic banking sector. The author combines theoretical and empirical analyses. Some make use of mathematical models and/or statistical techniques; however, they are only used when they are strictly necessary to the analysis.
Download or read book Economic Liberalization and Industrial Performance in Brazil written by Edmund Amann and published by OUP Oxford. This book was released on 2000-08-10 with total page 314 pages. Available in PDF, EPUB and Kindle. Book excerpt: In the past ten years the Brazilian economy has experience an unprecedented wave of market liberalization as import substitution has been progressively abandoned in favour of integration into the global economy. Trade barriers have fallen, privatizations have been implemented, and government procurement has been cut back. Although these policy shifts will be familiar to many, their implications in terms of performance may not. Using a comprehensive array of primary and secondary sources and in-depth company case studies, this book examines how one vitally important Brazilian industrial sector-the non-serial capital goods sector-coped with the onset of liberalization. While liberalization undoubtedly helped to promote greater efficiency in some areas of corporate performance, the impact elsewhere was far less favourable. This differentiated response raises some interesting and troubling theoretical and policy issues.
Download or read book Brazil s Strategy for Trade Liberalization and Economic Integration in the Western Hemisphere written by Pedro Motta Veiga and published by . This book was released on 1996 with total page 16 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Trade liberalization and the political economy of protection in Brazil since 1987 Working Paper SITI Documento de Trabajo IECI n 8b written by Marcelo de Paiva Abreu and published by BID-INTAL. This book was released on 2004 with total page 56 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book International Trade Economic Performance and the Political Economy of Protection written by Marcelo Carvalho and published by . This book was released on 1995 with total page 174 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Trade Elasticities and Market Expectations in Brazil written by Mr.Claudio Paiva and published by International Monetary Fund. This book was released on 2003-07-01 with total page 24 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper provides econometric estimates of trade elasticities for Brazil obtained through cointegration and vector auto regression models and controlling for the effects of exchange rate volatility, capacity utilization, and changes in import tariffs. The results suggest that (i) recent market expectations may have been unduly pessimistic regarding the responsiveness of Brazil's trade flows to the real exchange rate, but (ii) the GDP growth rates targeted by the new government may put downward pressure on the exchange rate and thus render the achievement of official inflation targets considerably more difficult if structural reforms are not implemented.
Download or read book Big Business and Brazil s Economic Reforms written by Luiz Kormann and published by Routledge. This book was released on 2015-04-17 with total page 220 pages. Available in PDF, EPUB and Kindle. Book excerpt: In the 1990s Brazil launched a comprehensive economic liberalization program. It lifted its trade barriers, adopted new market-oriented regulations, opened up its capital market and abandoned earlier efforts to internalize production and to build vertically integrated systems across several sectors of the economy. In spite of the visible gap that separated the top global giants from the large local enterprises, Brazilian companies seemed to be willing to join in an economic liberalization process that was bound to expose them to unprecedented levels of competition, bring about a high degree of uncertainty and, in many cases, ultimately put their own businesses at risk. Big Business and Brazil’s Economic Reforms examines the most emblematic aspect of the Brazilian economic reforms, the support from parts of the local entrepreneurial class for the opening up of the economy. It investigates the reasons why Brazil carried out these economic reforms in the 1990s, the transition process and the impact of the opening up of the economy on some of its most important sectors, such as the aerospace, auto and auto parts, food processing, oil and petrochemicals, ethanol, steel, telecoms and telecom equipment industries. This book offers an in-depth analysis of Brazil’s distinctive development paths, from the Latin American economic thinking of the early stages of its industrialization to the neo-liberal stance of the present day. It sheds new light on one of the main challenges facing all the large developing economies in their move to become more integrated into the world economy, the fostering of large enterprises, and is a great resource for students and researchers interested in global business, development economics, and Latin American economic history.
Download or read book Brazil and the Challenge of Economic Reform written by Werner Baer and published by . This book was released on 1993 with total page 186 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Economic Liberalization in Brazil written by Elizabeth McQuerry and published by . This book was released on 1995 with total page 358 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Trade Liberalization Employment Flows and Wage Inequality in Brazil written by Francisco H. G. Ferreira and published by . This book was released on 2007 with total page 64 pages. Available in PDF, EPUB and Kindle. Book excerpt: Using nationally representative, economywide data, this paper investigates the relative importance of trade-mandated effects on industry wage premia; industry and economywide skill premia; and employment flows in accounting for changes in the wage distribution in Brazil during the 1988-95 trade liberalization. Unlike in other Latin American countries, trade liberalization appears to have made a significant contribution toward a reduction in wage inequality. These effects have not occurred through changes in industry-specific (wage or skill) premia. Instead, they appear to have been channeled through substantial employment flows across sectors and formality categories. Changes in the economywide skill premium are also important.
Download or read book Managing Openness written by Mona Haddad and published by World Bank Publications. This book was released on 2011 with total page 352 pages. Available in PDF, EPUB and Kindle. Book excerpt: The global financial crisis triggered a broad reassessment of economic integration policies in developed and developing countries worldwide. The crisis-induced collapse in trade was the sharpest ever since World War II, affecting all countries and all product categories. A huge shock to the trading system, combined with severe macroeconomic instability, makes it natural for policymakers to call into question the basic underlying assumptions of trade liberalization and openness. In particular, outward-oriented or export-led growth strategies are being reassessed as openness is increasingly associated with greater volatility. However, it is crucial not to lose sight of the dynamic benefits that openness can offer. Examples include technology transfer, increased competitive pressure that reduces markups and improves efficiency, and economies of scale. The real question is how to manage outward-oriented strategies so as to maximize the benefits of openness while minimizing risks. This book aims to contribute to this important and ongoing policy debate, bringing together recent empirical work on the trade collapse, its causes and consequences, and the broader trade policy agenda in the post-crisis environment. It addresses critical policy issues revolving around the topic of outward-oriented growth strategy, including policy instruments that help manage risks associated with outward-orientation, lessons learned from the crisis for particular countries and regions, and how emerging trade policy issues such as climate change, commodities, global production networking, and migration affect the prospects for recovery and outward-oriented growth.
