Investiments and inovation in contemporary Brazil: a Post-Keynesian and Neo-Schumpeterian interpretation of the decisions of Brazilian entrepreneurs

Abstract

Individual decisions are the object of strong discussion among the different fields of economics research. Investment and innovation decisions directly affect the economic performance of nations. Two theoretical approaches are discussed in this work: (post) Keynesian and (neo) Schumpeterian theories. The aim of this text is to explain the behavior of investments and innovation in contemporary Brazil, focusing on the scope of individual decisions. Although these variables and their determinants have macroeconomic connotations, their behaviors deserve to be evaluated based on the actions of individuals and firms and on the factors that inhibit or encourage investment and innovation deliberations. Based on Keynesian and neo-Schumpeterian theories, an interpretation for the Brazilian case is proposed, demonstrating how macroeconomic and structural factors impact the cognitive model of entrepreneurs, inhibiting their propensity for productive investments and for technological innovation

Keywords
Investments; Innovation; Post-Keynesians; neo-Schumpeterians; Brazil