Guilherme R. C. Moreira – University of São Paulo
Leandro Almeida – University of São Paulo
Joaquim M. Guilhoto – University of São Paulo
Carlos R. Azzoni – University of São Paulo
Abstract:Brazilis one of the most unequal countries in the world in terms of income distribution. This situation is quite stable and remains almost unchanged for decades (Baer, 2001). Barros and Mendonça (1997) indicate that economic growth alone would not be able to solve the problem, and that some specific policies should be put in place. Some authors argue that opening of the economy to external market could help reducing inequality (Rocha, 1998, dealing with regional aspects; Green et al., 2001, analyzing labor market changes; Gurgel et al., 2003, on trade liberalization). Azzoni et al (2005) and Ferreira-Filho and Horridge (2005). Indicate that even a huge reduction in trade barriers by developed countries would produce very limited impacts on income distribution inBrazil.
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