Investments in infrastructure and effect on the poverty and the distribution of income: an analysis of general balance of the Brazilian economy / Investimentos em infra-estrutura e efeitos sobre a pobreza e a distribuiÃÃo de renda: uma anÃlise de equilÃbrio geral da economia brasileira

AUTOR(ES)
DATA DE PUBLICAÇÃO

2006

RESUMO

This research investigated the effects of an increase in the infrastructures investments on the economic growth and on the poverty and inequality indicators in Brazil. To reach this goal, it was simulated an increase in the public capital investments in a computable general equilibrium model (CGEM). To enhance the effects of this shock in the economy, the findings were compared with those obtained simulating a raise in the public purchases and with a commercial liberalization. Finally, it was simulated a raising in the infrastructure investiments together with each one of this others shocks. The CGEM employed is very similar to the Mini-IMMPA model developed by AgÂenor (2003). The model assumes that the infrastructure capital is a primary input in the production functions in the rural and urban formal sectors. It also takes in account the dynamic interrelations among infrastructure capital, private capital and labor in the wages determinations and, consequently, in the poverty indicators. The model was calibrated to reproduce a Brazilian social accounting matrix of 2002. The main data sources to construct this matrix was the Brazilian System of National Accountings of 2002 and the IMMPA social accounting matrix applied to Brazil found in AgÂenor(2003). The time horizon of the simulations was ten years, seizing the effects of these shocks in the short, medium and long run. The results indicated that an increasing of 1% in the share of the infrastructure investments in the GDP along the two first periods of time, generated a higher value added growth rate in the long run. The same shock induced a poverty reduction mainly among the poorest families. The public consumption purchases augmentation, did not generated expressive results nor on the value added neither on the families real income. The commercial liberalization, also had limited effects on the national product, income and poverty indicators. However, the poor families were the most benefited of this policy. Raising the infrastructure together with the public adminstration purchases, generated results nearly similar to those found in the simulations of the first shock. Simulating an augmentation in the infrastructure investments with a commercial opening, we found the best results in terms of economic growth rasing and real income and poverty reduction. The price reduction caused by the trade liberalization, may be thought as complementary action to promoting the economic development by an increase in the public capital investments.

ASSUNTO(S)

economia geral public investment crescimento econÃmico inequality poverty infra-estrutura economic growth modelos de equilı infrastructure pobreza brio geral desigualdade investimento pÃblico general equilibrium models

ACESSO AO ARTIGO

Documentos Relacionados