THE PARADOXICAL BRAZILIAN GROWTH REGIME IN PRE REAL PLAN PERIOD

Abstract

The debate regarding the effectiveness of neoliberal policies implemented
after the Real plan is a Brazilian cliché. However, the economic growth regime is, when
commented, just supposed, not passing by empirical validation. Therefore, the work
searches – using kaleckian references – to test empirically the economic growth regime
of the Brazilian economy before the implementation of the Real plan. The objective is of
offering empirical support for the debate. It was found, following Bhaduri and Marglin’s
(1990) model, a profit-led domestic structure and a wage-led total structure, peculiar results
when contrasted with the literature, nevertheless consistent with historical facts and theory.
This peculiarity was highlighted by the fact that in the empirical tests the propensity to
consume of workers and capitalists could not be distinguished as is often assumed in postKeynesian theory.