Globalização Econômica e Investimentos no Brasil

This paper analyse the determinants of investment in Brazil in an environment of globalisation. To achieve a proper identification the economy is divided in three sectors: public, domestic private and international private. Since the growth of volatility is one of the main results of the globalisation, we deal with some theories of investment under uncertainty. The GARCH model to measure the volatility of exchange and prices is applied. Impulseresponse functions indicate the levels of demand as the main determinant of investment – Verdoorn Law mechanism – followed by exchange rate levels, while volatility has a systematic and significant influence.