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The external orientation of the Brazilian manufacturing industry after trade liberalization

Author

Listed:
  • Renato Fonseca
  • Mário C. de Carvalho Jr.
  • Henry Pourchet

Abstract

In this article we built external orientation indicators for the Brazilian manufacturingindustry. These indicators allow us to better understand the changes on trade orientationduring the 1990s and the effect of an external shock, considering both the revenue (externalsales and domestic competition with imports) and the cost (imported inputs) channels.The study shows that the net external orientation coefficient for the manufacturing sectoras a whole dropped by 11.3% between 1989 and 1998, diminishing the positive effect thatcurrency devaluation would have on the manufacturing sector. JEL Classification: F14; F60.

Suggested Citation

  • Renato Fonseca & Mário C. de Carvalho Jr. & Henry Pourchet, 2000. "The external orientation of the Brazilian manufacturing industry after trade liberalization," Brazilian Journal of Political Economy, Center of Political Economy, vol. 20(3), pages 212-228.
    • Handle: RePEc:ekm:repojs:v:20:y:2000:i:3:p:212-228:id:1003
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    File URL: https://centrodeeconomiapolitica.org.br/repojs/index.php/journal/article/view/1003/988
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    More about this item

    Keywords

    Commercial integration; exports; liberalization; external orientation indicators;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F60 - International Economics - - Economic Impacts of Globalization - - - General

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