Política fiscal com restrição externa

Abstract

Referring to national income identy, this paper identifies the main components of public sector borrowing requirements (PSBR). Policy adjustments to external shocks are then analyzed in terms of the recent evolution of fiscal, monetary and public-enterprise budgets. It is pointed out that, since 1982, changes in relative prices and terms of trade have fostered export and import-substitution activities. High interested rates, however, continue to be a major impediment to investment and growth. For transparency in governmental policies, an overall revision in the budgetary process is suggested. To reduce interest rates on a permanent basis without deep cuts in the PSBR, the absorption of new money (external savings) seems to be necessary.