Contrasting histories in the political economy of protectionism: Argentina and Brazil, 1880-1930

Marcelo Abreu

Economia, 2000, vol. 1, issue 1, 93-110

Abstract: The paper's main objective is to describe and contrast commercial policies in Argentina and Brazil before the 1930's. It seeks through the analysis of the political economy of protection in both economies to explain the sharp contrasts between policies adopted in these coutries. In particular it stresses the covergent interests of coffee grower and industrialists in Brazil and the importance of diversification from coffee into industry. In Argentina there was a firm commitment of export interests and section of the working class to laissez faire policies in contrast with the high tariff in Brazil. Importance of rent-seeking as a frequente outcome of state policies in Brazil is examined with particular attention to coffee valorization. Market power in the export commodity markets as an explanation for protectionism is also considered.

Keywords: Protection; Market Power; Tariff (search for similar items in EconPapers)
Date: 2000
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