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Most of the literature on the politics of industrial policy describes a policy realm that is dominated by business–state relations. This paper goes beyond this and proposes that, in democratic settings, political competition and civil society actors also play a vital role in industrial policy. Through a lens focused on Brazil during the 2000s, the study delves into the dynamics between the election of a centre-left party and the subsequent industrial policy, highlighting the interplay of democratic mandates, entrenched economic interests, and supportive developmental alliances. Notably, the continuation of a centre-left coalition and consistent institutional frameworks witnessed considerable shifts in industrial policy outcomes, which allows for an in-depth evaluation of interest group influence on policy formation and implementation. By triangulating data from 23 interviews with actors in the industrial policy process, data from the Brazilian National Development Bank (BNDES), and an analysis of industrial policy plans, this paper posits that the prevalence of economic issues in the electoral debate and the participation of societal actors in the policymaking process are enablers of innovation-focused industrial policies; this allows governments to countervail the power of incumbent sectors and undertake policies that are not favoured by the prevailing business interest. [ABSTRACT FROM AUTHOR]

Since the 1970s, Brazil has carried out the most successful world program of commercial biomass for use and production of energy by stimulating its sugarcane industry and promoting the large-scale production of ethanol nationwide in response to the first oil shock. Today, the technologies behind ethanol production are well established. Brazil is the world's largest sugarcane supplier, producing its ethanol at a competitive price. If other sugarcane producing countries decided to join Brazil's move toward the production of this biofuel, what impacts might there be for each country's economy and employment? This is what we investigate in this paper. Prime candidates for ethanol production include Australia, China, Colombia, India, Indonesia, Mexico, Pakistan, the Philippines, Thailand, and the United States of America. We evaluated the potential socioeconomic impacts of developing this promising industry by using an input–output approach. More specifically, we adapted the Brazilian method of producing ethanol to these countries' distinct economies. We augmented the input–output table of each country, inserting a new ethanol industry based on the Brazilian ethanol production model. We also augmented their new ethanol industry's sales following a hypothetical hydrous and anhydrous ethanol consumption scenario. Thereafter, we reconcile the national accounts, concluding our analysis by quantifying and comparing the different net effects of this new industry for each of the assessed countries for the year of 2009. We demonstrate which industries would be expected to be positively or negatively impacted by this substitution in each country; and find that not all of the countries we assessed would experience positive socioeconomic results from emulating Brazil's production of ethanol. [ABSTRACT FROM AUTHOR]

What are the effects of extractive informal institutions on the horizontal accountability process in a developing democracy? This paper presents evidence about the harmful effects of extractive informal institutions on horizontal accountability within subnational governments in Brazil. After three decades of free and competitive elections, the institutional design of oversight institutions for state governments has hardly changed. We explore the hypothesis that more extractive informal institutions, measured by the level of income inequality, is associated with decreasing transparency levels. Given its extensive social, political, and economic diversity embedded in an overall centralized formal institutional framework, Brazil provides an appropriate setting to test the hypothesis that extractive informal institutions responsible for increased income inequality can undermine horizontal accountability in new democracies. [ABSTRACT FROM AUTHOR]

The Brazilian Amazon is marked by attempts at infrastructure-driven development. The construction of the Belo Monte dam, the third-largest in the world, brought chaotical and rapid urbanization to surrounding cities. This paper answered whether the Belo Monte dam impacted the level of violent crime in the region after Altamira was ranked as the most violent city in Brazil in 2015. Following a difference-in-difference approach, I explore the timing of the Belo Monte dam construction and the distance from the construction site to identify the causal effect of unplanned urbanization on homicide rate. In two exogenous shocks, the beginning (2011) and the end of the construction (2015), I estimated a significant rise in the homicide rate in closer cities. The results are driven by criminal activity, with drug trafficking being one of the channels behind the rising homicide rate during construction. The homicide victims are mainly the young male population causing a significant loss of human capital. The increasing homicide rate after the end of the construction indicates that the Belo Monte dam may have a long-term effect on the violence level in the region. Violence imposes high social costs and may jeopardize future growth in the Amazon. [ABSTRACT FROM AUTHOR]

Over the past decades, microfinance has become a pillar of economic development policies. However, despite the great popularity of micro-credit programs, the results of empirical studies are mixed. Thus, more research is needed to help us understand how effective microfinance is in achieving poverty reduction, economic development, and financial inclusion. This paper contributes to the literature by relying on a unique dataset from one of the biggest Fintech companies in Brazil to study the impact of microcredit on small firms' outcomes. Using a difference-in-difference approach, we find that access to credit increases monthly revenues and profits by nearly 4.5%. We show that the effects are stronger for women-led businesses and less experienced entrepreneurs. In addition, we find that credit renewal strengthens the benefits of credit access. We discuss several policy implications from our results. In particular, the permanent availability of credit – as opposed to one-time/short-term interventions -- has greater potential to generate virtuous cycles of ever more reinvestment and growth, indicating larger gains from relaxing borrowing constraints in the long run. [ABSTRACT FROM AUTHOR]

In Brazil, the development of the dam engineering can be directly correlated to social and economic progress. Although fundamental, a dam construction and operation invariably involve some level of risk, which must be managed through different mechanisms and tools governed by appropriate laws. This paper aims to scrutinize the data contained in National Water Agency (ANA) reports, published annually following institution of the National Dam Safety Policy (PNSB), pertinent to dams accidents and incidents. This information was cataloged and analyzed in order to identify trends associated to types of accidents and incidents, dam component materials and entrepreneurs involved, as well as the disparities between data available from the different regions of Brazil. There is a lack of basic data in numerous reports, hindering more in-depth statistical analyses. The recurrence of this deficit was observed as well as the need to improve the methodologies used to apply the PNSB guidelines. [ABSTRACT FROM AUTHOR]

Political institutions are an essential component to explain income variation. Brazilian municipalities are characterized by a great contrast in the colonization process and its impacts on the current income level and distribution, and other development aspects. This study analyzes the spatial heterogeneity of the relationship between institutional quality and the municipalities' economic development. We use a spatial moving window method applied to weighted regressions—Geographically Weighted Regression (GWR). We find evidence that good institutions increase income and other variables related to economic development. In addition, the institutional quality influence on economic development measures is distinct across the Brazilian regions. [ABSTRACT FROM AUTHOR]

Capital stock is possessing pivotal importance in stimulating the economic growth and development of any country. Inward FDI is considered as one of the important catalysts of economic development particularly for the resource and capital poor countries. In this article we have examined the relationship between inward FDI and economic growth in case of one of the emerging economies of Latin America i.e., Brazil. We took annual time series data for the dependent and independent variables like inward FDI, per capita Gross Domestic Product (GDP), employment, capital formation, and exports for the period ranging from 1996 to 2019. We ran Ordinary Least Square Regression and Random Effect Regression Analysis for gauging the nature of relationship between the variables as well as for testing the robustness of the results. We found that FDI has a positive and significant relationship with GDP and the exports. Whereas, FDI has insignificant relationship with the employment and capital formation. The article holds an important policy implication for the other developing countries of Latin America; they need to attract good amount of inward FDI to achieve the robust economic growth and development. [ABSTRACT FROM AUTHOR]

This paper empirically examined relevant data on BRICS CO2 emissions, financial development, and economic growth in the past 40 years, and analyzed the correlation between them. Using the cointegration test, it found that there is a clear correlation between the variables in China and South Africa, which show that there is a two-way relationship between CO2 emissions, financial development, and economic growth in both countries. Using the quantile regression method in the analysis, the results demonstrated that at the 0.6th quartile, South Africa's financial development had a negative impact on CO2 emissions, while Brazil's CO2 emissions had a negative impact on financial development. Economic growth was subsequently added as a control variable, and the quantile-on-quantile regression method was used to test the correlation between the financial development of the BRICS countries and their CO2 emissions. Finally, based on empirical conclusions, this paper proposed that BRICS countries should focus on sustainable economic development; when government departments formulate emission-reduction policies, they must reasonably consider the relationship between financial development and emission-reduction policies. [ABSTRACT FROM AUTHOR]

The way the researcher groups his research data will influence the result of his work. In the literature, this phenomenon is treated as a Problem of the Modifiable Areal Unit. The objective of this article was to analyze the three spatial levels by Municipalities, Regional Centers and Mesoregions using the following data: gross domestic product, effective agricultural production, grain production and gross value of agricultural production for the state of Paraná-Brazil in the period since 2012 until 2015. The methodological procedure studied data from the Paranaense Institute for Economic and Social Development of the above-named variables collected on the website of the Paranaense Institute for Economic and Social Development of the 399 municipalities, 23 regional centers and 10 mesoregions. The results found show the presence of the Modifiable Areal Unit Problem, presenting different results for each level of grouping. The study revealed the problem of the modifiable areal unit is a relevant occurrence and it should be disregarded by researchers who work with clusters of spatial data in their studies. The results found allow a better understanding of the scale effect and demonstrate the efficiency of spatial analysis in socioeconomic data. [ABSTRACT FROM AUTHOR]