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Favorable credit to private agents and the local economies in the deprived regions of Brazil: a spatial panel analysis

Author

Listed:
  • Luís Abel Silva-Filho

    (Regional University of Cariri)

  • Carlos R. Azzoni

    (University of Sao Paulo)

  • André L. S. Chagas

    (University of Sao Paulo)

  • Gustavo Castro

    (University of Sao Paulo)

Abstract

This article examines how the resources transferred to private economic agents under favorable conditions through Constitutional Funds affect the GDP per capita of municipalities in the deprived regions of Brazil. We utilize data spanning from 2002 to 2019 and employ Spatial Econometrics models to address observed spatial autocorrelation. Additionally, we incorporate loans from other public sources to firms in these municipalities. The results reveal that both sources of loans have a minor positive effect on the GDP per capita of these municipalities.

Suggested Citation

  • Luís Abel Silva-Filho & Carlos R. Azzoni & André L. S. Chagas & Gustavo Castro, 2023. "Favorable credit to private agents and the local economies in the deprived regions of Brazil: a spatial panel analysis," Letters in Spatial and Resource Sciences, Springer, vol. 16(1), pages 1-11, December.
    • Handle: RePEc:spr:lsprsc:v:16:y:2023:i:1:d:10.1007_s12076-023-00363-7
    DOI: 10.1007/s12076-023-00363-7
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    More about this item

    Keywords

    Public Financing; Constitutional Funds; Local GDP; Effects of Public Credit;
    All these keywords.

    JEL classification:

    • C0 - Mathematical and Quantitative Methods - - General
    • R0 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General
    • R15 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Econometric and Input-Output Models; Other Methods

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