Mercosul and regional development in Brazil: a gravity model approach
This paper assesses the impact of the Mercosul Preferential Trade Agreement onBrazil’s regions by means of a gravity model, extended to include dummy variables for Mercosul and for a Brazilian region. The results show that the most significant regional impacts of Mercosul were onBrazil’s Southern a...
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| Format: | article |
| Language: | EN PT |
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Universidade de São Paulo
2002
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| Online Access: | https://doaj.org/article/5f8f8966dbbb44488e7e40d1f2e721f8 |
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| Summary: | This paper assesses the impact of the Mercosul Preferential Trade Agreement onBrazil’s regions by means of a gravity model, extended to include dummy variables for Mercosul and for a Brazilian region. The results show that the most significant regional impacts of Mercosul were onBrazil’s Southern and Southeastern regions, whereas the North, Northeast and Center-West regions benefited much less from Mercosul in the period from 1990 to 1998. These results suggest that Mercosul may be aggravating regional disparities inBrazil.
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