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Recent Productivity Growth and Regional Inequality in Brazil

Author

Listed:
  • Daniela Schettini
  • Carlos Azzoni

    (Departamento de Economia, Universidade de São Paulo)

Abstract

This paper estimates the levels and the evolution of Total Factor Productivity (TFP) across 27 regions (states) in Brazil over the 1995-2009 period, for agriculture, manufacturing and services, as well as for total production. In the aggregate, there are no signs of productivity growth in the period, in spite of the substantive TFP growth exhibited by agriculture, and the modest growth observed in manufacturing. The regional results show that productivity levels replicate the regional inequality that marked the country’s history through decades: all the states with low TFP levels belong to the poorest regions, mainly the Northeast region. Some sectoral differences are observed when analyzing regional TFP growth but, on average, high-productivity states tend to exhibit higher productivity growth. This indicates that inequality in productivity in the future tends to be even more pronounced than in the present

Suggested Citation

  • Daniela Schettini & Carlos Azzoni, 2013. "Recent Productivity Growth and Regional Inequality in Brazil," TD NEREUS 10-2013, Núcleo de Economia Regional e Urbana da Universidade de São Paulo (NEREUS).
    • Handle: RePEc:ris:nereus:2013_010
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    References listed on IDEAS

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    3. Cassiano Bragagnolo & Humberto F. S. Spolador & Geraldo Sant’Ana de Camargo Barros, 2010. "Regional Brazilian Agriculture TFP Analysis: A Stochastic Frontier Analysis Approach," Economia, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics], vol. 11(4), pages 217-242.
    4. 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.
    5. Barbosa Filho, Fernando de Holanda & Pessôa, Samuel de Abreu & Veloso, Fernando A., 2010. "Evolução da Produtividade Total dos Fatores na Economia Brasileira com Ênfase no Capital Humano – 1992-2007," Revista Brasileira de Economia - RBE, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil), vol. 64(2), June.
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    Cited by:

    1. Oliveira, Paulo Felipe de & Carvalho, José Raimundo, 2016. "Regional Labor Market Differences in Brazil and Search Frictions: Some Structural Estimates," Revista Brasileira de Economia - RBE, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil), vol. 70(1), March.

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    JEL classification:

    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General

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