Cavallari, MatheusCanuto, OtavianoGuilherme Reis, José2013-12-022013-12-022013-01https://hdl.handle.net/10986/16330This note examines in detail Brazil s export performance over the past 15 years, focusing not only on growth and composition, but also on different performance dimensions, including diversification, sophistication, and firm dynamics. The analysis uses international comparisons to better situate the Brazilian performance, and explores different databases, including firm-level data recently published by the World Bank. The note uses a recent diagnostic toolkit developed by the World Bank in order to suggest some hypotheses about the factors that have been inhibiting exports and industrial production expansion. Among the latter, it is noted how service sectors, as the largest beneficiaries from favorable terms of trade, accommodated larger wage increases and "exported" cost pressures to other sectors of the economy. Furthermore, although a stronger currency can be appointed as one of the elements behind the lower competitiveness in Brazilian exports, sluggish productivity performance and a real wage uptrend explain a significant part of the overall loss of competitiveness. This diagnostic reinforces the importance of resuming the agenda of microeconomic reforms, increasing the investment-to-gross domestic product ratio, and advancing toward better-skilled human capital.en-USCC BY 3.0 IGOaggregate demandannual growthbilateral tradeBusiness environmentCentral Bankcommoditiescommoditycommodity exporterscommodity pricescomparative advantagecomparative advantagescomparative analysisCompetitivenessconsumer pricesconsumerscountry of destinationcountry of origincurrencycustomsdemographicdependent variabledeveloped countriesdeveloping countriesdevelopment policyDiversification of exportsdomestic consumptiondomestic demanddomestic marketseconomic crisiseconomic developmenteconomic dynamismeconomic environmenteconomic growthEconomic PolicyEconomic Researcheconomic sectorseconomies of scaleemerging marketexchange rate appreciationExchange ratesexport basketexport basketsexport competitivenessexport diversificationExport Dynamicsexport growthExport marketExport market shareexport marketsexport performanceexport performancesexport sectorexport sectorsexport shareexporterExportsExternal Balanceexternal shockfinancial crisisfixed costsfixed effectsForeign competitionforeign salesforeign tradefull employmentGDPGDP deflatorGDP per capitaglobal economyglobal integrationglobal marketsglobalizationgravity equationgravity modelgross domestic productgrowth rateGrowth ratesgrowth volatilityhuman capitalImpact of Tradeimportimport penetrationimportsincome growthindustrial productionindustrial sectorIndustrializationintermediate inputsinternational competitioninternational competitivenessinternational marketInternational TradeJob Creationknowledge spilloversloss of competitivenessmarket sharemarket sharesmiddle-income economiesnatural capitalnatural resourcesnew marketsnominal wagesoil exportsOpen Economyper capita incomePoverty Reductionproductivityreal effective exchange ratereal exchange rateslowdownspecializationsunk costssupply sidesupply-sidetaxtax systemterms of tradetotal exportstotal factor productivityTourismtrade competitivenesstrade flowstrade impacttrade integrationtrade logisticsTrade opennesstrade relationshipstradestrading partnertrading partnersTrading Volumesvertical specializationwagesWealthWorld Development Indicatorsworld economyworld marketworld market shareworld tradeWorld Bank10.1596/1813-9450-6302