AN ANALYSIS OF THE ECONOMIC EFFECTS OF EXPORTS PROMOTION STRATEGIES

Abstract

The main purpose of this paper is to study the economic effects of different strategies for the promotion of exports, associated with export incentives of high and small added value goods Eight sectors of the Brazilian economy were considered in the study, agriculture, mining, non-metalic minerals, capital goods (including mechanics, eletric and transportation materials), chemicals, and processed food products Increases in export demand for these sectors were simulated through an aggregated version of the Input-output Brazilian matrix The estimated economic effects were the changes in output, imported inputs, and in employment The findings of this study indicate that the processed food sector is likely to show the best economic performance.