Poverty and Inequality Dynamics in Manaus: Legacy of a Free Trade Zone?

Marta Castilho (), Marta Menéndez and Aude Sztulman
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Aude Sztulman: IRD - Institut de Recherche pour le Développement, DIAL - Développement, institutions et analyses de long terme, LEDa - Laboratoire d'Economie de Dauphine - IRD - Institut de Recherche pour le Développement - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique

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Abstract: This study contributes to the literature on the social impacts of Special Economic Zones by analyzing the dynamics of poverty and inequality in the Brazilian state of Amazonas, where the Free Trade Zone of Manaus (FTZM) is located. Using census data, micro-decompositions and counterfactual simulations, we show that if labor income was a major driver of poverty and inequality declines for the municipality of Manaus in the 2000-2010 decade, non-labor income was far more important in the rest of the state of Amazonas. Our contrasting results illustrate both the benefits and limitations of the influence of the FTZM. A better targeting of both social policies and training programs could improve distributional outcomes in the whole area.

Keywords: Free trade zone; poverty; inequality; Manaus; Brazil (search for similar items in EconPapers)
Date: 2015-12
New Economics Papers: this item is included in nep-lam
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-01245394v1
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Citations: View citations in EconPapers (4)

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Related works:
Working Paper: POVERTY AND INEQUALITY DYNAMICS IN MANAUS: LEGACY OF A FREE TRADE ZONE? (2018)
Working Paper: Poverty and Inequality Dynamics in Manaus: Legacy of a Free Trade Zone ? (2015)
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