Brazil - Growth and Poverty Reduction in Rio Gande Do Norte: A State Economic Memorandum
Brazil was the fastest growing country in the world between 1930 and 1995, with an average annual growth rate of 6.1 percent. By 2000, Brazil's per-capita income stood at R$6,500. While RN's per capita income is slightly above half the na...
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Format: | Country Economic Memorandum |
Language: | English en_US |
Published: |
Washington DC
2013
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Online Access: | http://documents.worldbank.org/curated/en/2004/01/2892495/brazil-growth-poverty-reduction-rio-gande-norte-state-economic-memorandum http://hdl.handle.net/10986/14683 |
Summary: | Brazil was the fastest growing country
in the world between 1930 and 1995, with an average annual
growth rate of 6.1 percent. By 2000, Brazil's
per-capita income stood at R$6,500. While RN's per
capita income is slightly above half the national average,
it increased from 43 percent of the national average in 1947
to 47 percent in 1998, implying that RN's economy grew
faster than that of Brazil for over half a century. This has
also been true in recent years. Between 1990-1998, RN's
income per capita showed a respectable trend growth rate of
3.0 percent. The close relationship between Brazil's
economic growth and RN's economic progress in the last
five decades reflects a response to common macroeconomic
forces and external environment as well as the enormous
influence of national policies and programs on RN's
economy. However, the state can also implement policies and
programs to stimulate growth and employment. For this
purpose, an understanding of trends in state GDP and
employment and of the sources of growth is important.
RN's economy has undergone a rapid and welcome
transformation from one dependent on salt, cotton, sugar,
and cattle to one dominated by services. The service sector
has increased its share of GDP from 40 percent in 1985 to 59
percent in 1998. Over this period, the share of industry
declined from 50 to 34 percent and the share of agriculture
fell from 9 to 7 percent, though its share of total
employment remains relatively high at 18 percent, reflecting
lower productivity of agricultural workers. The shares of
services and industry in total employment are 53 and 29
percent, respectively. |
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