FACES OF ECONOMIC DEVELOPMENT IN PERNAMBUCO – BRAZIL

Abstract

In this work, discussions about the actions and policies of both the Federal and State Government that were responsible for the beginning of profound transformations in the economy of the state of Pernambuco are brought up. The objective was to demonstrate that the State's decisions to promote decentralization and economic growth occurred through investment in economic-productive infrastructure, and by offering effective public policies for granting tax incentives that have in their principles decentralize industrial production to the various regions of its territory, through differentiated rates that increase subsidies as the distance from its Metropolitan Region, the most economically developed, increases. The object of study chosen was the dynamization of the economy of the state of Pernambuco, and all the phenomena that emerged from the moment of great economic growth that it passed after the year of 2003. The years 2007 to 2014 were considered as a time frame and were considering the information on the investment results of the Growth Acceleration Programs PAC 1 and 2 and the tax incentives from the Pernambuco Development Program - PRODEPE in the same period. The research is developed considering that these occurrences created an environment conducive to stimulate the accumulation of industrial capital and efficient in attracting investors and new companies, it brings information about PAC investments, as well as the efficiency of PRODEPE as potential for implantation and attraction new companies.