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Trade and Poverty

Trade and Poverty. Macro & micro impacts in Brazil from rich country liberalization. Introduction. How trade liberalization in rich countries affects Brazil economy Sectoral impact Poverty reduction. Graphical representation.

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Trade and Poverty

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  1. Trade and Poverty

  2. Macro & micro impacts in Brazil from rich country liberalization

  3. Introduction • How trade liberalization in rich countries affects Brazil economy • Sectoral impact • Poverty reduction

  4. Graphical representation

  5. Sectoral effectsqo(i,r)=SHRDM(i,r)*qds(i,r)+sum(s,REG,SHRXMD(i,r,s)* qxs(i,r,s))+tradslack(i,r)

  6. Effects of the liberalization

  7. Poverty reductionDemand for endowment (qfe)

  8. Summary • The impact of agricultural liberalization in the rich countries benefited Brazil in agricultural sector • Meat producers benefited the most • Output expands, draw more labors, income and wages increase • Poverty reduced

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