In Search of the Chains that Hold Brazil Back

Ricardo Hausmann

No 180, CID Working Papers from Center for International Development at Harvard University

Abstract: This paper performs a Growth Diagnostic for Brazil. It shows that many aspects of the Brazilian economy have been improving including the macro picture, educational progress and the external front. Moreover, Brazil has many productive possibilities and high-return investments. Yet growth is hampered because of a relatively old-fashioned problem that has been solved in many other countries in the region: creating a financially viable state that does not over-borrow, over-tax or under-invest. We show that domestic saving is the binding constraint on growth and that it has a fiscal cause. Although things are trending in the right direction, the challenge is to exploit the current good times to create the fiscal basis for a sustained growth acceleration.

Keywords: Growth Diagnostics; Brazil (search for similar items in EconPapers)
JEL-codes: O54 (search for similar items in EconPapers)
Date: 2008-09
References: Add references at CitEc
Citations: View citations in EconPapers (17)

Downloads: (external link)
https://www.hks.harvard.edu/sites/default/files/ce ... rking-papers/180.pdf (application/pdf)

Related works:
Working Paper: Is Search of the Chains That Hold Brazil Back (2008)
Working Paper: In Search of the Chains that Hold Brazil Back (2008)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cid:wpfacu:180

Access Statistics for this paper

More papers in CID Working Papers from Center for International Development at Harvard University 79 John F. Kennedy Street. Contact information at EDIRC.
Bibliographic data for series maintained by Chuck McKenney ().