The footwear exportation in Rio Grande do Sul: an evaluation of brazilian rate exchange effects and other determinants factors in 2000-05

Abstract

This paper aims to identify the main effects of exchange rates in Brazil and footwear prices upon footwear exportation in Rio Grande do Sul (Brazil). To achieve these goals, it was estimate the coefficients using the method of Ordinary Least Squares from January of 2000 to March of 2005. The results show that an increase of 1% in exchange rate determines an increase of 0.74% in footwear exportation, and when footwear prices increase 1% determines an increase of 0.62% in footwear exportation, with other thinks being the same.