Abstract

During the eighties, Brazil’s agricultural sector had a non-negligible growth,
in spite of very unfavorable internal and external economic circumstances. Such a growth
occurred at the same time as available credit was declining, the subsidies eliminated, with
an external recession, fall in commodities’ prices and low growth in internal demand. This
paper seeks to explain this growth with unfavorable conditions. In addition, it looks at
which adjustments the sector needs to make in the case Brazil is able to resume its growth
during the present decade.

JEL Classification: Q11; Q13.