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Directed credit and misallocation

Grant number: 14/19402-4
Support Opportunities:Scholarships in Brazil - Master
Start date: December 01, 2014
End date: July 31, 2016
Field of knowledge:Applied Social Sciences - Economics - Growth, Fluctuations and Economic Planning
Agreement: Coordination of Improvement of Higher Education Personnel (CAPES)
Principal Investigator:Gabriel de Abreu Madeira
Grantee:Fernando Kuwer dos Santos
Host Institution: Faculdade de Economia, Administração e Contabilidade (FEA). Universidade de São Paulo (USP). São Paulo , SP, Brazil
Associated scholarship(s):15/13590-6 - Earmarked credit and misallocation: evidence from Brazil, BE.EP.MS

Abstract

The proposed dissertation will study, credit directing impact over Total Factor Productivity (TFP) using an occupational choice model with heterogeneous agents. The underlying hypothesis is that, once there is directing credit to an arbitrary subset of individuals, individual's set of choices is altered, which causes some non-benefited more talented entrepreneurs to stay smaller and some benefited less talented entrepreneurs growth bigger than they would without the directing credit policy. Hence, an agent's type, wealth and talent will determine occupational choice and firm size endogenously. To provide quantitative estimates of policy effects, the model will be calibrated with Brazilian data. Simulations with counterfactually different values for policy-determined parameters will be analyzed. (AU)

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Academic Publications
(References retrieved automatically from State of São Paulo Research Institutions)
SANTOS, Fernando Kuwer dos. Earmarked credit and misallocation: evidence from Brazil. 2016. Master's Dissertation - Universidade de São Paulo (USP). Faculdade de Economia, Administração e Contabilidade (FEA/SBD) São Paulo.