Integração comercial, dotação de fatores e desigualdade de renda pessoal dos estados brasileiros

Abstract

The objective of this paper is to examine the impact of commercial integration and trade composition of Brazilian states on personal income inequality and its decomposition, considering four distinct samples: Brazil, North/Northeast, South/Southeast e Mid-West. Additional variables of human capital endowment and urbanization degree are tested. The methodology used here is based on factors endowments as determinants of comparative advantages in each region. The main conclusion is that trade openness tends to reduce income concentration and to increase the share of the poorest in the total income in the South/Southeast regions, whilst in North/Northeast and Mid-West trade openness, even not having an expressive effect on income concentration, tends to reduce income of the poorest 20%.