Introduction

This introduction presents an overview of the key concepts discussed in the subsequent chapters of this book. The book presents a brief overview of Brazil's industrialization strategies, trade policies and exchange-rate regimes. The economic welfare of Brazil will substantially depend on improvements in the economic management of the country. The book provides the basis for evaluating the interrelations between export performance, international competitiveness, comparative advantage, and economic policy. It describes clues as to whether the international competitiveness of Brazilian manufactured exports was due to comparative advantage in production or to government incentives which were in line or rather in conflict with comparative advantages. The book discusses the reasons for the export boom in 1983-1985, an evaluation of the impact of stabilization policies as well as some reflections on the impact of rising protectionism and the new General Agreement on Tariffs and Trade-Round on Brazil's future export prospects.