About the project

The aim of this project is to understand: the factors that affect the process of elaboration and implementation of industrial policy in Brazil; and to what extent those policies affect the ability of domestic firms to upgrade their technological and organizational skills. Empirically, the project focuses on a comparative study of Brazil’s two most important […]

The aim of this project is to understand:

  1. the factors that affect the process of elaboration and implementation of industrial policy in Brazil; and
  2. to what extent those policies affect the ability of domestic firms to upgrade their technological and organizational skills.

Empirically, the project focuses on a comparative study of Brazil’s two most important extractive industries: oil & gas (O&G) and mining. These two sectors are relevant since both oil and iron ore are Brazil’s main export products. Despite being extractive industries, they involve a complex supply chain that have been recently the target of policies to stimulate the local production and provision of equipment and services. Additionally, both sectors present considerable differences in the set of policy instruments (e.g. local content requirements) and the intensity of the state intervention. The research design is based on three stages of data collection:1) Document analysis and interview with key-informants in order to map the evolution of the policy-making in each sector and identify relevant policy instruments;2) Case studies with representative firms within the supply chain of each sector in order to identify whether and how policy instruments affect firms’ strategies;3) C ollection of data through a survey with a larger sample of firms along the supply chain with the aim to identify general differences in the way policy instruments in each sector affect firm’s strategies.In doing so, we expect to raise the knowledge abou t the economic policy-making in Brazil and the viability of strategies to develop domestic industries in the context of a globalized economy.

Project description (PDF)

 

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