Economy-Wide Modeling of the Agricultural Sector in Brazil
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Date
1991-04
Journal Title
Journal ISSN
Volume Title
Publisher
Ohio State University. Department of Agricultural, Environmental, and Development Economics
Abstract
This paper presents a multisectoral general equilibrium model of the Brazilian economy in which the linkage and interactions between the agricultural and non-agricultural sectors are specified and explored. The paper shows that as the Brazilian economy has moved rapidly through structural transformation in the 1970-1986 period, several important inter and intra-sectoral linkages have evolved between the agricultural sector and the rest of the economy. These sectoral interactions have reduced the relative role of agricultural labor and agricultural GDP in the total labor force and total GDP, respectively. The empirical results in the model corroborate the fact that the large expansion of the Brazilian agricultural exports in the 19705 could only be accomodated at the expense of some land that had previously been used to produce domestic foodcrops.