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Agricultural Policy and the Quality of Public Expenditure in Agriculture: Evidence from Municipalities of Minas Gerais state, Brazil
Última alteração: 2019-06-11
Resumo
Agriculture has a historical importance for the Brazilian economy. Comprehending the relevance of this sector to country’s economy, Federal Government has invested in several programs aimed at strengthening the agricultural sector. Seen this, we aimed at analyzing the quality of expenditure on agriculture-focused public programs. Focusing on municipalities of Minas Gerais state, we applied a bias-corrected Data Envelopment Analysis Model where the investment in programs of marketing support, risk management and rural credit were taken as inputs and the agricultural gross production value (GPV) was used as model’s output. Main results indicate that the state presented a relatively low quality on public expenditure in agriculture. Moreover, the municipalities whose economy depends the most of agricultural results presented the largest efficiency average. We concluded that government investments should be focused on municipalities with less-developed agriculture.
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