Brazilian Agricultural Sector Research Articles

Interest groups and economic policy: explaining the pattern of protection in the Brazilian agricultural sector

Interest groups and economic policy: explaining the pattern of protection in the Brazilian agricultural sector

INTEREST GROUPS AND ECONOMIC POLICY: EXPLAINING THE PATTERN OF PROTECTION IN THE BRAZILIAN AGRICULTURAL SECTOR

This article examines the determinants of the pattern of protection across products in the Brazilian agricultural sector from 1969 to 1989. Three key determinants of policy are explored: interest group pressure, government objectives, and structural change associated with economic crisis and a change in political regime. The principal agricultural policies are analyzed, and nominal protection coefficients (NPCs) and producer subsidy equivalents (PSEs) are calculated. When NPCs are used as the dependent variable, econometric results indicate that interest group characteristics such as group size were an important determinant of the pattern of protection. With PSEs, government efforts to raise tax revenues, generate foreign exchange, and control inflation played a more significant role. The results of this paper suggest that future studies of the political economy of protection should pay more attention to the specification of the dependent variable because the conclusions can depend crucially on this choice.

Agricultural Commodity Control under Vargas in Brazil, 1930–1945

The ground covered by recent studies on Brazil between 1930 and 1945 has fallen into two main schools of interest: one has concentrated on the political history of this period; the other on the background to Brazilian industrialization. With the exception of coffee and rice, Brazilian agriculture has remained relatively neglected as an area of research. Yet the importance of Brazilian agriculture both as a source for domestic consumption requirements and also as an export earner has constantly been presented as the explanation for the political evolution of Brazil in these years and the concomitant increased interest shown in the development of Brazilian manufacturing industries. This paper will concentrate on the Brazilian agricultural sector and will consider the nature of Vargas's agriculturalautarquias— that is, the semi-autonomous administrative units Vargas established to supervise and direct the activities of selected areas of the economy and of society. It is hoped that, in so doing, it will contribute to a deeper understanding of how Getúlio Vargas governed Brazil between 1930 and 1945.