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Policy, Technology, and Efficiency of Brazilian Agriculture

Author

Listed:
  • Rada, Nicholas E.
  • Valdes, Constanza
Abstract
The Brazilian agricultural sector has been transformed from a traditional system of production with low use of modern technologies to a world agricultural leader. That transformation occurred as the country moved away from import-substitution policies—which nurtured domestic industrial development at the expense of agriculture—toward market-oriented policy reforms. These reforms included openness to foreign trade and foreign investment and the use of new technologies, which led to a new growth pattern. To evaluate that transformation, the authors use agricultural censuses spanning 1985-2006 to characterize Brazilian total factor productivity growth, decomposing that growth into technical and effi ciency changes. This report presents the fi ndings of a study that focuses on the effect of Brazil’s science and technology investments and other public policies on farm production. The fi ndings indicate that agricultural research benefi ts have been most rapidly adopted by the most effi cient farms, widening the productivity gap between these farms and average farms. That gap, however, has been narrowed through other public policies, such as rural credit and infrastructure investments, that favor average producers.

Suggested Citation

  • Rada, Nicholas E. & Valdes, Constanza, 2012. "Policy, Technology, and Efficiency of Brazilian Agriculture," Economic Research Report 127498, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uersrr:127498
    DOI: 10.22004/ag.econ.127498
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    References listed on IDEAS

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    Cited by:

    1. Chatani, Kazutoshi. & Pedro, Oluwaseun Olufemi., 2014. "The role of central banks in meeting the development and employment challenges : the case of Mozambique," ILO Working Papers 994865563402676, International Labour Organization.
    2. Minghui Zhang & Gabriel Abrahao & Sally Thompson, 2021. "Sensitivity of soybean planting date to wet season onset in Mato Grosso, Brazil, and implications under climate change," Climatic Change, Springer, vol. 168(3), pages 1-28, October.
    3. Beckman, Jayson & Dyck, John & Heerman, Kari, 2017. "The Global Landscape of Agricultural Trade, 1995-2014," Economic Information Bulletin 265270, United States Department of Agriculture, Economic Research Service.
    4. Silva, Felipe & Fulginiti, Lilyan E. & Perrin, Richard K., 2016. "Did technical change in agricultural production decrease the emission of pollutants on the Amazon Forest during 1990-2009?," 2016 Annual Meeting, February 6-9, 2016, San Antonio, Texas 230092, Southern Agricultural Economics Association.
    5. repec:ilo:ilowps:486556 is not listed on IDEAS
    6. Schweizer, Heidi & Yildirim, Yasin, 2022. "Investigating the Growth of Brazilian Agricultural Exports," Western Economics Forum, Western Agricultural Economics Association, vol. 20(2), December.
    7. Silva, F.D.F. & Fulginiti, L. & Perrin, R., 2018. "Agricultural productivity and forest preservation in the Brazilian Amazon," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277167, International Association of Agricultural Economists.
    8. Christensen, Cheryl, 2018. "Progress and Challenges in Global Food Security," Amber Waves:The Economics of Food, Farming, Natural Resources, and Rural America, United States Department of Agriculture, Economic Research Service, vol. 0(01), February.
    9. Steven M. Helfand & Nicholas E. Rada & Marcelo M. Magalhães, 2017. "Special Issue on The Brazilian Agri-food Sector," EuroChoices, The Agricultural Economics Society, vol. 16(1), pages 17-22, April.
    10. Correa, Paulo & Schmidt, Cristiane, 2014. "Public Research Organizations and Agricultural Development in Brazil: How Did Embrapa Get It Right?," World Bank - Economic Premise, The World Bank, issue 145, pages 1-10, June.
    11. Freitas, C.O.D. & Silva, F.F. & Braga, M.J., 2018. "The effect of rural extension on farm technical efficiency in Brazil," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277271, International Association of Agricultural Economists.
    12. Mulwa, Chalmers & Marenya, Paswel & Rahut, Dil Bahadur & Kassie, Menale, 2015. "Response to Climate Risks among Smallholder Farmers in Malawi: A Multivariate Probit Assessment of the Role of Information, Household Demographics and Farm Characteristics," 2015 Conference, August 9-14, 2015, Milan, Italy 212511, International Association of Agricultural Economists.
    13. Silva, Felipe & Fulginiti, Lilyan & Perrin, Richard, 2016. "Trade-off between amazon forest and agriculture in Brazil – shadow price and their substitution estimative for 2006," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235800, Agricultural and Applied Economics Association.
    14. Will Martin, 2017. "Agricultural Trade and Food Security," Policy briefs 1744, Policy Center for the New South.
    15. Freitas, Carlos Otavio de & Silva, Felipe de Figueiredo & Braga, Marcelo Jose & Neves, Mateus de Carvalho Reis, 2021. "Rural extension and technical efficiency in the Brazilian agricultural sector," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 24(2), January.
    16. Felipe Figueiredo Silva & Lilyan E. Fulginiti & Richard K. Perrin & Marcelo Jose Braga, 2022. "The increasing opportunity cost of sequestering CO2 in the Brazilian Amazon forest," Empirical Economics, Springer, vol. 62(2), pages 439-460, February.
    17. Lili Guo & Sihang Guo & Mengqian Tang & Mengying Su & Houjian Li, 2022. "Financial Support for Agriculture, Chemical Fertilizer Use, and Carbon Emissions from Agricultural Production in China," IJERPH, MDPI, vol. 19(12), pages 1-19, June.
    18. Padilla, Samantha & Ufer, Danielle J. & Morgan, Stephen & Link, Noah, 2023. "U.S. Export Competitiveness in Select Crop Markets," USDA Miscellaneous 333553, United States Department of Agriculture.

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    Keywords

    Agricultural and Food Policy; International Development; Production Economics; Productivity Analysis;
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