The sources for orthodox and heterodox trade and industrial policies in Brazil

The Brazilian government has over the past years promulgated a mix of orthodox and heterodox policies for Brazil’s economic development. This paper seeks to test whether the existing economic ideas have been prescriptive in formulating the policies, or whether they have been the outcome of the “infu...

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Bibliographic Details
Author: Rothacher, Jan-Ulrich
Format: article
Status:Published version
Publication Date:2016
Country:Brasil
Institution:EDITORA 34
Repository:Revista de Economia Política
Language:English
OAI Identifier:oai:ojs2.centrodeeconomiapolitica.org:article/2004
Online Access:https://centrodeeconomiapolitica.org.br/repojs/index.php/journal/article/view/2004
Access Level:Open access
Keyword:societal approach
industrial policy
agribusiness
car industry
obbying
Brazil
abordagem social
política industrial
agronegócio
indústria automobilística
lobby
Brasil
Description
Summary:The Brazilian government has over the past years promulgated a mix of orthodox and heterodox policies for Brazil’s economic development. This paper seeks to test whether the existing economic ideas have been prescriptive in formulating the policies, or whether they have been the outcome of the “infusion of private interests” (Katzenstein, 1978) in the policy making process. To this end, the paper charts the origins of the unilateral opening for trade in the agribusiness and contrasts them with the policy process in the car industry, where trade barriers have been erected. The article will identify the channels through which private actors informed the government’s interventions and show that the industry bodies have largely prodded the government. The resulting policy maze has left both the representatives of the orthodox as well those of the heterodox approach unsatisfied and has failed to halt Brazil’s dwindling manufacturing capabilities. JEL Classification: F13; L52; L62; L66.