Structuralist macroeconomics and the new developmentalism
Luiz Carlos Bresser-Pereira
Brazilian Journal of Political Economy, vol. 32 (3), 2012: 347-366.
This paper, first, presents some basic ideas and models of a structuralist development macroeconomics that complements and actualizes the thought of structuralist development economics that was dominant between the 1940s and the 1960s including in the World Bank. The new approach focus on the relation between the exchange rate and economic growth, and develops three interrelated models: the tendency to the overvaluation of the exchange, the critique of growth with foreign savings, and a model of the Dutch disease based on the existence of two exchange rate equilibriums: the "current" and the "industrial" equilibrium. Second, it summarizes "new developmentalism" - a sum of growth policies based on these models and on the experience of fast growing Asian countries.