How does foreign capital participation affect brazilian companies' performance?: investigation of foreign direct investment's impact on host country

In this dissertation, we investigate the effect of foreign capital participations in Brazilians companies’ performance. To carry out this analysis, we constructed two sets of model based on EBITDA margin and return on equity. Panel data analysis is used to examine the relationship between foreign capital ownership and Brazilian firms’ performance. We construct a cross-section time-series sample of companies listed on the BOVESPA index from 2006 to 2010. Empirical results led us to validate two hypotheses. First, foreign capital participations improve companies’ performance up to a certain level of participation. Then, joint controlled or strategic partnership between a Brazilian company and a foreign investor provide high operating performance.

High-growth SMEs and the availability of private equity and venture capital in Brazil

This chapter discusses private equity and venture capital (PE/VC) in Brazil. Firstly, it is shown that PE/VC has a strong impact in the Brazilian capital markets, with PE/VC-backed companies representing close to half the amount raised by initial public offerings (IPOs) in the stock exchanges. By examining two of these deals, which involved small and mediumsized enterprises (SMEs), it is argued that PE/VC managers have acted as catalysts of the impressive growth rates experienced before these companies entered the stock markets. Indeed, PE/VC firms represent an important segment of the capital market, with specialization to invest in high-growth innovative SMEs. PE/VC managers exercise superior selection, monitoring and governance that mitigate the uncertainty and risks of investing in such companies. Despite its successes in Brazil, PE/VC is still very much restrained by the challenging local economic and institutional environment. Thus, changes in the legal and fiscal system, simplification in bureaucratic procedures, and other such improvements will most likely result in a sensible growth in the Brazilian PE/VC industry, with positive impact in the SME access to finance in Brazil. Since most countries in Latin America share similar economic and institutional traits with Brazil, the path followed by the local PE/VC industry can serve as an example for other countries to learn with its successes and failures.

Um estudo sobre os desafios do investimento baseado em capital intelectual

Os investimentos em longo prazo são importantes para os fundos de pensão, visto a longevidade de seus compromissos. A maior parte dos investimentos dessas entidades está alocada no segmento de renda fixa; contudo, os fundos de pensão são identificados como potenciais investidores em empreendimentos relacionados à inovação por seus interesses de longo prazo. Em setembro de 2009, por meio da Resolução do Conselho Monetário Nacional, os fundos de pensão foram autorizados a investirem em fundos de investimentos em participação – fundos em private equity. Esses investimentos são caracterizados por retornos de longo prazo e ganhos reais atrativos; apesar disso, esses investimentos ainda são inexpressivos em comparação aos mercados tradicionais. Nesse sentido, este estudo teve por objetivo compreender as dificuldades de se realizar investimento de longo prazo por meio de capital intelectual e, a partir de um caso específico, verificar como este investidor vem realizando a análise desse tipo de investimento. Para este fim, foi realizado um estudo exploratório em um fundo de pensão de médio porte por meio de análise documental, entrevistas abertas e não estruturadas e observação no processo decisório de investimento. Esse fundo está localizado na cidade do Rio de Janeiro e foi escolhido pelo critério não probabilístico de acessibilidade. Verificou-se que, embora haja atratividade em termo de retorno financeiro, os investimentos em participações – private equity - ainda estão abaixo do limite da regulamentação, devido aos altos riscos relacionados à confiança, ao prazo e à autonomia no processo decisório de investimento em inovação.

Beyond ‘best practices': the international regulation of capital markets

It is widely acknowledged that there is considerable international pressure for international ‘best practices’ to be adopted via national legislation. This would occur either by means of model laws or through the passing of country specific legislation that closely replicates foreign legal formats, administrative rules, and or regulation. These attempts to spread the implementation of ‘best practices’ have gained importance in the international debate due to the liberalization of international capital flows. The oversight, country reports, and technical assistance carried out by international organizations along with the growing internationalization of investors have also contributed to this growing pressure. In this respect, due to the constant evolution of transactions and the end objective of making sure that capital markets are developed with just rules, structures, and methods, this article looks to analyze the adoption of standardized models of capital market regulation. Furthermore it looks to examine the motivation and interest of states and other ‘stakeholders’ at the international level.

Capital structure in Brazil : review of studies during the period of 1988-2003

A systematic review was made of studies regarding the capital structure in Brazil during the period of 1988-2003. The recurring themes relate to the static tradeoff and pecking order in various moments of the economy, the fiscal benefits of indebtedness and interest on privately-owned capital, and the inefficacies of the stock market. The Brazilian companies enjoy little leverage as compared to other emerging markets. BNDES is responsible for 5% of the gross formation of fixed capital. The funding of resources occurs at opportune moments, and the financing decision may precede that of investment. Efficacy of the judiciary system and company transparency positively affect access to credit.

The revenge of the market on the rentiers why neo-liberal reports of the end of history turned out to be premature

Starting from the perspective of heterodox Keynesian-Minskyian-Kindlebergian financial economics, this paper begins by highlighting a number of mechanisms that contributed to the current financial crisis. These include excess liquidity, income polarisation, conflicts between financial and productive capital, lack of intelligent regulation, asymmetric information, principal-agent dilemmas and bounded rationalities. However, the paper then proceeds to argue that perhaps more than ever the ‘macroeconomics’ that led to this crisis only makes analytical sense if examined within the framework of the political settlements and distributional outcomes in which it had operated. Taking the perspective of critical social theories the paper concludes that, ultimately, the current financial crisis is the outcome of something much more systemic, namely an attempt to use neo-liberalism (or, in US terms, neo-conservatism) as a new technology of power to help transform capitalism into a rentiers’ delight. And in particular, into a system without much ‘compulsion’ on big business; i.e., one that imposes only minimal pressures on big agents to engage in competitive struggles in the real economy (while inflicting exactly the opposite fate on workers and small firms). A key component in the effectiveness of this new technology of power was its ability to transform the state into a major facilitator of the ever-increasing rent-seeking practices of oligopolistic capital. The architects of this experiment include some capitalist groups (in particular rentiers from the financial sector as well as capitalists from the ‘mature’ and most polluting industries of the preceding techno-economic paradigm), some political groups, as well as intellectual networks with their allies – including most economists and the ‘new’ left. Although rentiers did succeed in their attempt to get rid of practically all fetters on their greed, in the end the crisis materialised when ‘markets’ took their inevitable revenge on the rentiers by calling their (blatant) bluff.

The spenders-hoarders theory of capital accumulations, wealth distribution and fiscal policy

This paper proposes a simple OLG model which is consistent with the essential facts about consumer behavior, capital accumulation and wealth distribution, and yields some new and surprising conclusions about fiscal policy. By considering a society in which individuais are distinguished according to two characteristics, altruism and wealth preference, we show that those who in the long run hold the bulk of private capital are not so rnuch motivated by dynastic altruism as by preference for wealth. Two types of social segmentation can result with different wcalth distribution. To a large extcnt our results seem to fit reality better than those obtained with standard optimal growth models in which dynastic altruism ( or r ate o f impatience) is the only source of heterogeneity: overaccumulation can appear, public debt and unfunded pensions are not neutra!, estate taxation can improve the welfare of the top wealthy.

A corretagem de imóveis no Rio Grande do Norte: das práticas históricas à emergência como segmento integrante da fração imobiliária do capital

This research proposed to question the development of what was defined as historical practices (commercial, social and political institutions), of the economic activity of the real estate brokerage in the Rio Grande do Norte from the progressive institutionalization of economic agents - individuals (realtors) and legal (real estate) - based on two main approaches: a) the development of economic activity as an integral segment of a fraction of capital (POULANTZAs, 1985; LESSA, 1981). This work set out from a socio-historical approach of the historical practices development the of real estate brokerage in Brazil started in the Southeast, especially in the cities of Rio de Janeiro and São Paulo as a result of the "expansion of capitalist relations by the housing sector" (RIBEIRO , 1996). especially the real estate capital ; b) the historical development of relations between labor and capital within the activity, in other words, the development of the relationship between realtors and Real Estate in relation to "group of interests" and their "collective actions" (OFFE, 1984). These historical practices are defined in this research as: 1) mercantile practices, times when there was no distinction between the activity of real estate brokerage and other forms of mercantile capital; 2) social practices, which began in the 1930s, when agents of real estate are to be distinguished from each other within the activity through Taylorist division of labor between workers realtors and developers of real estate; 3) political and institutional practices, initiated in 1962, characterized by State action, in the individualization and distinction of the agents of real estate brokerage as socioprofessional category regulated throughout Brazil by Law 4.116/62 and 6.530/78. The results achieved by the present study showed that in Rio Grande do Norte, due to the specifics as to the peripheral processes of urbanization of the constitution of the land market, as well as the process of conservative modernization of the oligarchic State from the 1960s (CLEMENTINE, 1995; FERREIRA, 1996, 2010, TRINDADE, 2004), the State was led to the development of a late manifestation of the historical practices of real estate brokerage. In other words, it was a process in which historical practices, in particular social practices, not fully developed, mitigating, thus the perception of realtors from his position in the process of exploitation of labor by the Real Estate. And, as a result, of their collective interests front of them.

As mutações no mundo do trabalho na era da mundialização do capital

A classe trabalhadora no século XXI, em plena era da globalização, é mais fragmentada, mais heterogênea e ainda mais diversificada. Pode-se constatar, neste processo, uma perda significativa de direitos e de sentidos, em sintonia com o caráter destrutivo do capital vigente. O sistema de metabolismo, sob controle do capital, tornou o trabalho ainda mais precarizado, por meio das formas de subempregado, desempregado, intensificando os níveis de exploração para aqueles que trabalham. Esse processo é bastante distinto, entretanto, das teses que propugnam o fim do trabalho. Este texto explora alguns dos significados e das dimensões das mudanças que vêm ocorrendo no mundo do trabalho.

Fiscal Panorama of Latin America and the Caribbean 2013: tax reform and renewal of the fiscal covenant

Includes bibliography

Intellectual property rights and sustainable development: a survey of major issues

Includes bibliography

Human capital formation and the linkage between trade and poverty: the cases of Costa Rica and Nicaragua

Includes bibliography

A summary of the experiences of Chile and Colombia with unremunerated reserve requirements on capital flows during the 1990's

Incluye Bibliografía

Reproduction, food dynamics and exploitation level of Oreochromis niloticus (Perciformes: Cichlidae) from artisanal fisheries in Barra Bonita Reservoir, Brazil

Nile tilapia (Oreochromis niloticus), which is exotic to South America, is the most common species caught in artisanal fisheries at the Barra Bonita Reservoir, Southeastern Brazil. This species is of great socioeconomic importance for the region and keeps active a population of about 500 fishers. In the present study we assess reproduction, food dynamics and level of exploitation of O. niloticus, caught by artisanal fisheries in the Barra Bonita Reservoir. Specimens were collected monthly, from July 2004-June 2005, and a total of 1 715 specimens were analyzed. Each specimen was examined to obtain biological and biometric data: standard length (cm), total weight (g), reproductive data (sex and stage of maturation), and stomach contents (empty, partly full, and full). We also estimated the sex ratio (by macroscopic observation of gonads), reproductive period (by ovarian development and seasonal average of gonadosomatic index in females), and feeding habits (by stomach contents). The possible relationship between abiotic factors and the reproductive period was statistically verified using Spearman's Rank Correlation. The FiSAT (ELEFAN I) package was used to assess growth parameters, mortality rates and to infer exploitation rate from standard length frequencies. The O. niloticus population had a sex ratio of 1.3:1 (M:F). Results indicated that ripe females were captured throughout the year, with a higher frequency during the winter-2004 (with a frequency of 59%, at a mean temperature of 20.5°C), and in spring-2004 (with a frequency of 60.5% at a mean temperature of 21.18°C). The GSI mean values obtained by season were: winter-2004: 1.71; spring-2004: 1.72; summer-2005: 0.80, and autumn-2005: 1.19. The Spearman correlation indicated positive values with respect to pH, dissolved oxygen, electric conductivity, transparency and chlorophyll a, and negative values with respect to temperature, accumulated rainfall and altimetric benchmark. The main food items were phytoplankton and periphytic algae, observed in 99.6% of the analyzed stomachs. The estimated growth and mortality parameters were: L∞=33.60cm, k=0.63/year, longevity= 4.76years, Z=2.81/ year, M=1.20/year and F=1.61/year. The weight-length relationship was Ln Wt=-2.8532+2.8835 Ln Lp. The estimated yield per recruit values were as follows: E=0.570, Emax=0.776, E0.1=0.604 and E0.5=0.349. These results indicate that a well established population of O. niloticus is present at Barra Bonita Reservoir; with an active reproduction throughout the year, more intense during winter and spring, and that O. niloticus is a phytoplanktophagus species. There were no indications that this species is being overfished, we therefore recommend that, due to its exotic condition, no restrictions need to be taken on its fishing activities.

The influence of capital origin on Brazilian foreign trade patterns

Includes bibliography