The regulation of the wheat milling industry in Brazil

Vol. 11 No. 4 (1991)

Oct-Dec / 1991
Published October 1, 1991
PDF-Portuguese (Português (Brasil))
PDF-Portuguese (Português (Brasil))

How to Cite

Silva, Vera Martins da. 1991. “The Regulation of the Wheat Milling Industry in Brazil”. Brazilian Journal of Political Economy 11 (4):513-23. https://doi.org/10.1590/0101-31571991-0888.

The regulation of the wheat milling industry in Brazil

Vera Martins da Silva
Faculdade de Economia e Administração da Universidade de São Paulo – FEA-USP, São Paulo/SP, Brasil.
Brazilian Journal of Political Economy, Vol. 11 No. 4 (1991), Oct-Dec / 1991, Pages 513-523

Abstract

This article discusses the impact of the regulation of the Brazilian wheat market on the industrial structure of the wheat flour and the possibility of the subsidy absortion by the in-dustry. First, it is remarked the institutional aspects of the wheat flour industry. Then, the framework used was based on indicators developed in Industrial Organization theory, that indicates that the regulation is not the cause of the increase in market concentration nor that the industry absorved the subsidy. On the contrary, it seems that the industry real profit decreased during the relevant period of subsidy policy (1970-80).

JEL Classification: Q18; L66.


Keywords: Regulation wheat agricultural policy subsides