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Impacto dos investimentos do PAC em Minas Gerais: efeitos sobre crescimento e desigualdade

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Author Info

  • Edson Paulo Domingues

    (Cedeplar-UFMG)

  • Aline Souza Magalhães

    (Cedeplar-UFMG)

  • Weslem Rodrigues Faria

    (Cedeplar-UFMG)

Abstract

The Brazilian federal government has recently set out plans encompassing detailed public expenditure programs and targets on infra-structure investment (PAC, Programa de Aceleração do Crescimento). We investigate the sectoral, regional and national economic consequences of the PAC in Minas Gerais. Our modeling encompasses much detail. Firstly, we use a large-scale multi-regional CGE model of Brazil. The model is both bottom-up and top-down: bottom-up for Brazil's 27 states, and top-down for Brazil's 558 microrregions. Despite the high level of regional disaggregation, the level of sectoral disaggregation is also high, at 36 sectors. Secondly, we model the PAC in detail, considering each of the 9 sets of expenditure programs under the 2008-11 plan. We find that the PAC can have strong impacts in Minas Gerais, but can contribute to a increase in regional inequality in the state in long run.

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Bibliographic Info

Paper provided by Cedeplar, Universidade Federal de Minas Gerais in its series Textos para Discussão Cedeplar-UFMG with number td339.

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Length: 35 pages
Date of creation: Oct 2008
Date of revision:
Handle: RePEc:cdp:texdis:td339

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Keywords: regional modeling; general equilibrium; infrastructure; regional inequality; Brazil;

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