Efeitos do investimento público sobre o investimento privado: uma investigação empírica para o Brasil de 1980 a 2018

Abstract

The present work intends to differentiate the effects that public investment can have on private investments, and thus be able to understand its impact on the economy. First, investment and some of its theories will be presented, then the different definitions of the terms crowding out are presented, which is a negative effect promoted by public investment and the crowding in that produces a positive effect on private investments. During the work, the public sector's net debt is also highlighted. The need for public sector financing is directly related to public debt. The empirical analysis presents the variables of interest, in order to carry out the analysis of descriptive statistics. For a country's economy to develop, it is necessary for the public sector to make adequate investments, be they in infrastructure, health and education. For the government to make these investments and increase the country's economic growth, it needs the taxes collected. The government needs to control interest rates and inflation to stabilize the economy and make private investments feasible, given that high interest rates cause a fall in investments and an increase in public debt.