This paper analyzes Brazilian agricultural development from 1970 to 2000, highlighting how this process took place differently among Brazil’s states. Special attention is paid to the role of physical and human capital over Brazilian states’ agricultural development process. The main findings are: first, all Brazilian states show low levels of human capital at their agricultural sector; especially the Northeastern states what have the nationwide lowest level of formal education among their workers. The latter partially explains the nationwide lowest rank of Northeastern states’ agricultural sector. Second, capital use intensification has risen by 5% per year, in average. However, the Northeastern states show lower increase for this parameter. Regional differences into the agricultural sector are evident and they are not disappearing by themselves. At the end, the paper suggests some policies that can reduce these regional differences.
Agricultural development; Regional imbalances; Capital use intensification; Human capital
