This study develops an analysis of the impacts of the most important variables in the Gross Domestic Product (GDP) and Total Factor Productivity (TFP) in agriculture in the period between 1974 and 2005. Investment in infrastructure for transport, energy, research, agricultural irrigation and storage and the amount of rural credit and education of workers in the agricultural sector are considered determinants of the economic growth. The analysis is done through the use of the Johansen cointegration method and the results suggest that education and investment in infrastructure have a positive impact on output and on agriculture yield in the long run. On the other hand, cointegration relationship between credit and production, and credit and agriculture yield were not detected.
Brazilian agriculture; TFP; Cointegration
