Potentialities and Fragilities of Brazilian SEZs

Potentialities and Fragilities of Brazilian SEZs

José Flavio Messias, Maria Helena Veloso Salgado, Kalil Riccardi Potenza, Priscila Cristiane Escobar Silva, Cristina Silveira Melo
Copyright: © 2022 |Pages: 25
DOI: 10.4018/978-1-7998-7619-9.ch016
OnDemand:
(Individual Chapters)
Available
$37.50
Current Special Offers
No Current Special Offers
TOTAL SAVINGS: $37.50

Abstract

A Special Economic Zone (SEZ) is a geographically delineated area subject to different regulations and administration from the host country in which it resides to attract foreign direct investment in economic activity that could not otherwise be achieved. The Special Economic Zones have gained relevance considering this new scenario. From an estimated 500 in 1995, they have now grown to around 5,400 in over 130 countries. They do not have a single format and can constitute a free trade area, an export processing zone, trade and foreign investment agreements, tax exemptions, with different stages of development: Stages I, II, and III, respectively – take-off, upgrading, and innovation. In this chapter, the authors analyze the existing models in Brazil, the stages of development they are in, identify their main characteristics, their positive and negative aspects, and assess the development prospects and the challenges for the expansion.
Chapter Preview
Top

Classical Theories Of Regional Development

Perroux (1967) introduces a notion of space, discarding the concept of Euclidean space and uses the mathematical concept of abstract space, more suitable for analyzing economic interrelationships, not being restricted to the nation.

For Perroux (1967, p. 164) the growth process is irregular, because “growth does not appear everywhere at the same time; it manifests with varying intensities, at points or poles of growth; propagates, according to different routes and with variable final effects, in the economy as a whole”. Hence the need for driving industries, responsible for expanding growth. The driving industries would be those that “sooner than the others, develop according to forms that are those of the great modern industry” (Perroux, 1967, p. 166).

Complete Chapter List

Search this Book:
Reset