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In recent years, several economists have argued that the sharp loss of competitiveness of the Brazilian industry was caused by a strong exchange rate appreciation. However, other economists have attributed this loss of competitiveness to the dismal growth of labor productivity in the Brazilian...
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This paper uses the sudden surge in Chinese competition faced by Brazil's manufacturers in the 2000s to revisit the … findings from the literature on how productivity, innovation, and employment were impacted by the Great Liberalizationa period … effects than growth effects. Inconclusive results on innovation also seem to point in this direction. The estimated effects on …
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