The effect of industrial policies on the electronic sector in Brazil. Brazil's reputation in vertical industrial policies is dreadful. The electronics industry case is a good example. As measured by the performance of Brazil's exports vis-à-vis that of a group of emerging economies, the result of these policies was a total disaster. Had not been for the inadequacy of Brazil's industrial policies for this sector, exports of manufactures could have been between 36% and 46% higher than they actually were. Brazil's cumulated losses from 1984, when foreign microcomputer firms were prohibited to operate in the country, are estimated to be from 3.6 to 4.6 the country's manufactures export revenue in 2005.

This paper analyses the effects on Brazil's trade indices of the rising share of industrial products in Brazil's exports in the period from 1964 to 1974. New price and quantity indices of Fisher for Brazil's exports and imports of industrial and non-industrial goods have been especially constructed for this period, in order to obtain methodologically consistent series of indexes from 1964 to 2005. The market-share-constant model was applied to analyze the effects of different groups of products on Brazil's export revenues between 1964 and 1974.

ABSTRACT The principal aim of this paper is to discuss the growth-cum-debt strategy set out in the II NDP and adopted in Brazil between 1974 and 1979, as a way of making the external adjustment of the economy. It is argued that, despite the mistakes made by the authorities in Brazil on matters of economic policy and on certain investment decisions, the strategy set out in the II NDP and pursued over the period between 1974 and 1979 played, on the whole, a positive role in adjusting Brazil’s external accounts in addition to sustaining economic growth. growthcumdebt growth cum debt 197 economy that decisions played whole Brazils s 19 1

RESUMO O objetivo principal deste artigo é discutir a estratégia de crescimento com dívida prevista no II PND e adotada no Brasil entre 1974 e 1979, como forma de fazer o ajuste externo da economia. Argumenta-se que, apesar dos equívocos cometidos pelas autoridades no Brasil em matéria de política econômica e em algumas decisões de investimento, a estratégia traçada no II PND e prosseguida no período de 1974 a 1979 desempenhou, em geral, um efeito positivo importante no ajuste das contas externas do Brasil, além de sustentar o crescimento econômico. 197 economia Argumentase Argumenta se que investimento desempenhou geral econômico 19 1