INSIDE THE PSI: COMMERCIAL BALANCE, TERMS OF TRADE AND ECONOMIC GROWTH DURING THE “DEVELOPMENTALIST” ERA (1932-1980)

Abstract

The industrialization policy adopted from the 1930s on is characterized by the government effort to substitute imported goods. Trade balance has become, since then, the variable that would guide the success of that policy. Therefore, this paper aims to analyze whether the performance of trade balance and terms of trade were an impulse or a restriction to Brazilian GDP growth during the five decades of national developmentalist policies.