ESTIMATION OF MUNICIPAL CONVERGENCE CLUBS IN BRAZIL FROM 2000 TO 2010

• Autor(a) principal: Lima, Sergiany da Silva
• Data de Publicação: 2021
• Outros Autores: Ruiz, Ana Urraca
• Tipo de documento: Artigo
• Idioma: por
• Título da fonte: Análise Econômica (Online)
• Texto Completo: https://seer.ufrgs.br/index.php/AnaliseEconomica/article/view/82016
• topic: Desigualdades persistentes; Múltiplos equilíbrios; Spillovers tecnológicos; O47; O43; O33; Persistent inequalities; Multiple equilibria; Technological spillovers; O47; O43; O33

This paper aims to estimate the municipal convergence clubs of Brazil. Todo that, it uses a neoclassical growth model that includes absorption and technologicaldiffusion. The empirical evidence on the very existence of multiple equilibria (convergence clubs) suggests that there are strong differences among the aggregate productionfunctions of Brazilian municipalities. To test these hypotheses, we use a finite mixturemethods (FMM) and threshold equation, under the assumption of low consistency of the convergence estimators to a single equilibrium (DURLAUF; JOHNSON, 1995). TheFMM estimates the convergence clubs by the probability distribution of the determinants of economic growth. The Threshold Method identifies the productivity differences of the aggregate production function. The results are consistent with the theory, sincethey show multiple balances in municipal convergence clubs and persistence of the inequalities of the income in time. The FMM identifies the economic growth determinantsby club, explaining the elasticities of factor endowments and technological diffusion bylevel of economic development. The threshold clubs suggest that the productivity gapsare due to the differences of the efficiency of capital use and technological absorption.The greatest effects and significance of the estimated parameters occurred in the mostadvanced clubs.