Effects of the Innovation System in the Exportation Performance of the Municipalities of Minas Gerais

Abstract

Objective: The objective of this paper was to analyze how the variables of a regional innovation system (IS) influence the export performance of the municipalities of Minas Gerais, from 2005 to 2011.

Method: The proposed variables were analyzed by the panel model, random effect. These models provide greater control over the heterogeneity of individuals, better inference of the estimated parameters, ease in unveiling dynamic relationships between variables, and use of more observations, increasing degrees of freedom and reducing the multicollinearity between the explanatory variables. Also, the moderating effect between the socioeconomic variables and the constituent variables of the IS was performed.

Originality / relevance: According to Negri and Freitas (2004), despite the diverse evidences about the determinants of Brazilian exports, there is a gap to be filled on innovation and its relation with the Brazilian export performance. Therefore, this research contributes to society, government, universities, in order to stimulate partnerships for regional development.

Results: A total of 224 municipalities were studied, and the variables world income and exchange rate were confirmed as significant according to the export theory, the socio-economic variables FMDI (FIRJAN Municipal Development Index) and infrastructure spending. The innovative variables, the levels of occupation in services and the presence of universities and/or federal institutes were also significant.

Theoretical/Methodological Contributions: We found that when a municipality has a relevant level of occupation in services associated with a significant FMDI, the export performance is likely to increase. Therefore, the results found contribute to a better understanding of the relationship between the IS and the export performance of the municipalities in Minas Gerais.