IDEAS home Printed from https://ideas.repec.org/a/taf/regstd/v52y2018i5p727-739.html
   My bibliography  Save this article

Structuring investment and regional inequalities in the Brazilian Northeast

Author

Listed:
  • Luiz Carlos De Santana Ribeiro
  • Edson Paulo Domingues
  • Fernando Salgueiro Perobelli
  • Geoffrey John Dennis Hewings

Abstract

Structuring investment and regional inequalities in the Brazilian Northeast. Regional Studies. This paper evaluates the long-run regional impacts of the construction of three oil refineries proposed for Brazil’s Northeast (NE) region. A dynamic, interregional computable general equilibrium (CGE) model was developed, with 28 regions in the NE and the rest of Brazil and 30 sectors. The database construction methodology could be applied to any other country. The main results of the refinery investment simulations in the NE indicate positive impacts in all regions. However, the construction and operation of these three refineries would generate an increase in intraregional inequalities. On the other hand, in the long run, these investments could contribute to the NE gaining an increased relative share of Brazilian gross domestic product (GDP).

Suggested Citation

  • Luiz Carlos De Santana Ribeiro & Edson Paulo Domingues & Fernando Salgueiro Perobelli & Geoffrey John Dennis Hewings, 2018. "Structuring investment and regional inequalities in the Brazilian Northeast," Regional Studies, Taylor & Francis Journals, vol. 52(5), pages 727-739, May.
    • Handle: RePEc:taf:regstd:v:52:y:2018:i:5:p:727-739
    DOI: 10.1080/00343404.2017.1327709
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00343404.2017.1327709
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00343404.2017.1327709?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Rodrigo Simões & Luiz Carlos Ribeiro & Thiago Lopes & Thiago Moreira, 2013. "Suape: novo polo de crescimento?," Textos para Discussão Cedeplar-UFMG 478, Cedeplar, Universidade Federal de Minas Gerais.
    2. James R. Markusen, 2004. "Multinational Firms and the Theory of International Trade," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262633078, December.
    3. Shankar, Raja & Shah, Anwar, 2001. "Bridging the economic divide within nations : a scorecard on the performance of regional development policies in reducing regional income disparities," Policy Research Working Paper Series 2717, The World Bank.
    4. Richard Baldwin & Rikard Forslid & Philippe Martin & Gianmarco Ottaviano & Frederic Robert-Nicoud, 2005. "Economic Geography and Public Policy," Economics Books, Princeton University Press, edition 1, number 7524.
    5. Giesecke, James A. & Madden, John R., 2013. "Regional Computable General Equilibrium Modeling," Handbook of Computable General Equilibrium Modeling, in: Peter B. Dixon & Dale Jorgenson (ed.), Handbook of Computable General Equilibrium Modeling, edition 1, volume 1, chapter 0, pages 379-475, Elsevier.
    6. Raul Silveira Neto & Carlos Azzoni, 2011. "Non-Spatial Government Policies and Regional Income Inequality in Brazil," Regional Studies, Taylor & Francis Journals, vol. 45(4), pages 453-461.
    7. Mark Partridge & Dan Rickman, 2010. "Computable General Equilibrium (CGE) Modelling for Regional Economic Development Analysis," Regional Studies, Taylor & Francis Journals, vol. 44(10), pages 1311-1328.
    8. Wagner, Alfred, 1891. "Marshall's Principles of Economics," History of Economic Thought Articles, McMaster University Archive for the History of Economic Thought, vol. 5, pages 319-338.
    9. Clélio Campolina Diniz, 1993. "Desenvolvimento poligonal no Brasil: nem desconcentração, nem contínua polarização," Nova Economia, Economics Department, Universidade Federal de Minas Gerais (Brazil), vol. 3(1), pages 35-64, September.
    10. Carvalho, Alexandre & Lall, Somik V. & Timmins, Christopher, 2006. "Regional subsidies and industrial prospects of lagging regions," Policy Research Working Paper Series 3843, The World Bank.
    11. Raul M. Silveira-Neto & Carlos R. Azzoni, 2012. "Social Policy As Regional Policy: Market And Nonmarket Factors Determining Regional Inequality," Journal of Regional Science, Wiley Blackwell, vol. 52(3), pages 433-450, August.
    12. Eduardo Amaral Haddad & Fernando Salgueiro Perobelli & Edson Paulo Domingues & Mauricio Aguiar, 2011. "Assessing the ex ante economic impacts of transportation infrastructure policies in Brazil," Journal of Development Effectiveness, Taylor & Francis Journals, vol. 3(1), pages 44-61.
    13. Clélio Campolina Diniz, 2006. "A Busca de um Projeto de Nação: O Papel do Território e das Políticas Regional e Urbana," Economia, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics], vol. 7(4), pages 1-18.
    14. Glyn Wittwer & Mark Horridge, 2010. "Bringing Regional Detail to a CGE Model using Census Data," Spatial Economic Analysis, Taylor & Francis Journals, vol. 5(2), pages 229-255.
    15. Eduardo A. Haddad & Geoffrey J. D. Hewings & Fernando S. Perobelli & Raul A. C. dos Santos, 2010. "Regional Effects of Port Infrastructure: A Spatial CGE Application to Brazil," International Regional Science Review, , vol. 33(3), pages 239-263, July.
    16. repec:mir:mireco:v:1:y:2014:i:2:p:30-44 is not listed on IDEAS
    17. Rodrigo Ferreira Simões & Elton Eduardo Freitas, 2014. "Urban Attributes and Regional Differences in Productivity: Evidence from the External Economics of Brazilian Micro-regions from 2000 - 2010," Journal of Economic and Financial Studies (JEFS), LAR Center Press, vol. 2(1), pages 27-39, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhangqi Zhong & Lingyun He, 2022. "Macro-Regional Economic Structural Change Driven by Micro-founded Technological Innovation Diffusion: An Agent-Based Computational Economic Modeling Approach," Computational Economics, Springer;Society for Computational Economics, vol. 59(2), pages 471-525, February.
    2. Betarelli, Admir Antonio & Domingues, Edson Paulo & Hewings, Geoffrey John Dennis, 2020. "Transport policy, rail freight sector and market structure: The economic effects in Brazil," Transportation Research Part A: Policy and Practice, Elsevier, vol. 135(C), pages 1-23.
    3. Korzhenevych, Artem & Bröcker, Johannes, 2018. "Investment subsidies and regional welfare: A dynamic framework," CEPIE Working Papers 02/18, Technische Universität Dresden, Center of Public and International Economics (CEPIE).
    4. Cardoso, Guilherme & Simonato, Thiago & Freire, Debora & Domingues, Edson, 2020. "Easing the Effects of Austerity with Reforms: A regional CGE experiment on Brazilian labor productivity," Conference papers 333186, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    5. Betarelli Junior, Admir Antonio & Faria, Weslem Rodrigues & Gonçalves Montenegro, Rosa Livia & Bahia, Domitila Santos & Gonçalves, Eduardo, 2020. "Research and development, productive structure and economic effects: Assessing the role of public financing in Brazil," Economic Modelling, Elsevier, vol. 90(C), pages 235-253.
    6. Philip Arestis & Peter Phelps, 2019. "A panel analysis of Brazilian regional inequality," Environment and Planning A, , vol. 51(7), pages 1558-1585, October.
    7. Luiz Carlos Ribeiro & Kenia Barreiro de Souza & Edson Paulo Domingues & Aline Souza Magalhães, 2020. "Blue water turns black: economic impact of oil spill on Brazilian Northeast," Textos para Discussão Cedeplar-UFMG 619, Cedeplar, Universidade Federal de Minas Gerais.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Eduardo A. Haddad & Jesús P. Mena-Chalco, Otavio J. G. Sidone, 2015. "Scholarly Collaboration in Regional Science in Developing Countries: The Case of the Brazilian REAL Network," Working Papers, Department of Economics 2015_12, University of São Paulo (FEA-USP).
    2. Eduardo A. Haddad & Jesús P. Mena-Chalco & Otávio J. G. Sidone, 2017. "Scholarly Collaboration in Regional Science in Developing Countries," International Regional Science Review, , vol. 40(5), pages 500-529, September.
    3. Giesecke, James A. & Madden, John R., 2013. "Regional Computable General Equilibrium Modeling," Handbook of Computable General Equilibrium Modeling, in: Peter B. Dixon & Dale Jorgenson (ed.), Handbook of Computable General Equilibrium Modeling, edition 1, volume 1, chapter 0, pages 379-475, Elsevier.
    4. Larch Mario & Lechthaler Wolfgang, 2011. "Comparative Advantage and Skill-Specific Unemployment," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 11(1), pages 1-58, April.
    5. Carl Gaigné & Jacques-François Thisse, 2013. "New Economic Geography and the City," Working Papers SMART 13-02, INRAE UMR SMART.
    6. Petroulas, Pavlos, 2007. "The effect of the euro on foreign direct investment," European Economic Review, Elsevier, vol. 51(6), pages 1468-1491, August.
    7. Gianmarco I P Ottaviano & Jacques-François Thisse, 2005. "New Economic Geography: What about the N?," Environment and Planning A, , vol. 37(10), pages 1707-1725, October.
    8. Tomoki Ishikura & Fuga Yokoyama, 2022. "Regional economic effects of the Ring Road project in the Greater Tokyo Area: A spatial CGE approach," Papers in Regional Science, Wiley Blackwell, vol. 101(4), pages 811-837, August.
    9. Lenaerts, Bert & Allroggen, Florian & Malina, Robert, 2021. "The economic impact of aviation: A review on the role of market access," Journal of Air Transport Management, Elsevier, vol. 91(C).
    10. James A. Giesecke & John R. Madden, 2013. "Evidence-based regional economic policy analysis: the role of CGE modelling," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 6(2), pages 285-301.
    11. Edilberto Tiago de Almeida & Raul da Mota Silveira Neto & Roberta de Moraes Rocha, 2022. "Manufacturing location patterns in Brazil," Papers in Regional Science, Wiley Blackwell, vol. 101(4), pages 839-873, August.
    12. Karolina Ekholm & Katariina Hakkala, 2007. "Location of R&D and High-Tech Production by Vertically Integrated Multinationals," Economic Journal, Royal Economic Society, vol. 117(518), pages 512-543, March.
    13. Kim, Ho Yeon, 2012. "Shrinking population and the urban hierarchy," IDE Discussion Papers 360, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    14. Peter Egger & Doina Radulescu & Nora Strecker, 2013. "Effective labor taxation and the international location of headquarters," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 20(4), pages 631-652, August.
    15. Giordano Mion & Gianmarco I.P. Ottaviano & Kristian Behrens, 2008. "Industry reallocations in a globalizing economy," ECONOMIA E POLITICA INDUSTRIALE, FrancoAngeli Editore, vol. 2008(4), pages 51-63.
    16. Stefan Gruber & Anna Soci, 2010. "Agglomeration, Agriculture, and the Perspective of the Periphery," Spatial Economic Analysis, Taylor & Francis Journals, vol. 5(1), pages 43-72.
    17. Lanaspa, Luis & Sanz-Gracia, Fernando & Vera-Cabello, María, 2016. "The (strong) interdependence between intermediate producer services' attributes and manufacturing location," Economic Modelling, Elsevier, vol. 57(C), pages 1-12.
    18. Masahisa Fujita & Tomoya Mori, 2005. "Frontiers of the New Economic Geography," Papers in Regional Science, Wiley Blackwell, vol. 84(3), pages 377-405, August.
    19. Ioannis Charalampidis & Panagiotis Karkatsoulis & Pantelis Capros, 2019. "A Regional Economy-Energy-Transport Model of the EU for Assessing Decarbonization in Transport," Energies, MDPI, vol. 12(16), pages 1-27, August.
    20. Kristian Behrens & Pierre M. Picard, 2007. "Welfare, home market effects, and horizontal foreign direct investment," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 40(4), pages 1118-1148, November.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:regstd:v:52:y:2018:i:5:p:727-739. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CRES20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.