Growth and concentration in the local production system of agricultural machines and implements in RS

Abstract

The phenomena of growth and concentration in a capitalist economy have both in the business firm and in their territorial expansion the locus of accumulation, productive relations and arrangements of power. This is precisely the environment in which their endogenous opportunities of development will emerge. In this context, this paper discusses the role of the design of public policy, in order to foster these development opportunities oriented to the Local Production Systems of the Brazilian State of Rio Grande do Sul, during the period 1999-2002. Its empirical focus relies on the period 1994-2004, dealing with the industrial concentration of the Agricultural Machinery Tools industry. As a conclusion, the paper found that this particular Local Production System shows higher dynamism, as compared to equivalent sectors that are not organized along these lines. It also identifies high and growing trend to increase concentration.