The Regional Impact of National Policies
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The Regional Impact of National Policies

The Case of Brazil

Edited by Werner Baer

Brazil is a country of continental proportions whose gross domestic product is unevenly distributed among its various regions. The impact of general domestic economic policies has often been perceived as not being regionally neutral, but as reinforcing the geographic concentration of economic activities. This detailed book examines the regional impact of such general policies as: industrialization, agricultural modernization, privatization, stabilization, science and technology, labor, and foreign direct investment.
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Chapter 3: Regional Imbalances in Brazil According to Social Inclusion

Roberto Cavalcanti de Albuquerque


Roberto Cavalcanti de Albuquerque 3.1 INTRODUCTION The purpose of this chapter is to conceive and construct a composite development indicator, the Social Inclusion Index. It aims at measuring and analyzing both the extent of the recent process of accelerated social inclusion which prevailed in Brazil, and its impact on spatial inequalities among regions, states and rural, urban and metropolitan areas. 3.2 THE MEANING OF SOCIAL INCLUSION Modern democracy is based on three fundamental principles. The first of them is the popular sovereignty, by which, as Montesquieu says, “the people as a body” (the political commonwealth) “has the sovereign power”.1 The second principle, representation, legitimates the partial transfer of political power by the people (the electorate) through a regulated decision process (the elections) to their elected representatives, with mandates limited in time and periodically renewable. The authors of The Federalist (1787–88), Alexander Hamilton, James Madison and John Jay, call this system a “popular government” or “republican government”.2 John Stuart Mill prefers to name it “representative government”, considering it, “ideally, the best form of governing”.3 For him, “there ought to be no pariahs in a full-grown and civilized nation; no persons disqualified, except through their own default”.4 According to the third principle of modern democracy, political power, besides being exercised directly or indirectly by the people, must be employed to their benefit. This principle was announced by Pericles in 430 BC when he said that Athens was a democracy because its government was beneficial to the many...

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