O impacto dos gastos do governo federal no desmatamento no Estado do Pará [The impact of federal government expenses on deforestation in the state of Pará]

The deforestation of the Amazon forest is one of the most important environmental problems faced by the Brazilian government. The economic literature points to numerous factors responsible for deforestation, and many of these are, directly or indirectly, derived from federal spending. This article analyzes, through a panel data econometric model, how federal spending can influence, or mitigate, Amazonian deforestation. The state of Pará is used as a case study, as it presents the highest degree of deforestation among all Amazonian states.