The Brazilian Interest Rate Equalization System (IRES) subsidizes farmers by providing them with credit at lower than market interest rates. The objective of this research is to evaluate the IRES by comparing its monetary cost with its benefits as measured by Brazilian GDP growth. Estimates are...

In the last few years, efforts have been made to modify agricultural support policies in order to minimize the distortive impacts on product level and on international trade. Emphasis has been given to decoupled payments, considered neutral to current production decisions. The main argument is...

The objective of this paper is to analyze the 1999 exchange rate (real/dollar) devaluation impact on coffee and intermediate input prices. Input price increased with exchange rate devaluation, reducing the positive effect of the exchange rate on coffee production, compared with the scenario...

For decades, the Brazilian agriculture sector has suffered strong income transfers to many of the country’s other economic sectors, which caused the impoverishment of many Brazilian farmers. Govern-ment sponsored rural credit assistance programs have somewhat redres-sed this inequity and...