NORDESTE BRASILEIRO: DINÂMICA ECONÔMICA DOS ESTADOS DA BAHIA, PERNAMBUCO E CEARÁ

Abstract

Based upon the industrialization process inthe Northeastern Brazil during the period 1972-89, this article Investigates the causes for the differences in economic growth pathes among the three main states of the region, namely Bahia, Pernambuco and Ceará. Since investment in the industrial sector determines the economic growth path, an analytical framework of the type struture-conduct-performance has been undertaken on a micro-macro basis. The basic methodologycal hypothesis is that the state economic growth depends upon three components: profit per worker in the industrial sector (a proxy for capital accumulation); formation of industrial complexes; institutional factors (Subsidies from the Investment Funds for the Northeast-FINOR were taken as proxy). In conclusion, the analysis of these components for each state indicates that Bahia has displayed a high performance in its economic growth, Ceará has improved its economic growth, whereas Pemambuco has not shown a significant improvement in its economic growth path.