Imperfectly credible trade liberalization can lead to balance of payment deterioration and a subsequent reversal of the reform. Therefore, this paper examines whether the likelihood of policy reversal depends on the rate of tariff reduction or the degree of labor mobility. The analysis shows...

Many farmers in the Brazilian Amazon do not have clear titles to their land. Therefore, using an infinite-horizon representative agent model, this paper analyzes how improved property rights influence the farmer's investment in the land, as well as the farmer's consumption and debt. Three...