Relação entre distribuição de rendimentos do trabalho e industrialização: uma análise para os municípios brasileiros

This paper presented an empirical investigation of the relation between industrialization and labor income on Brazilian municipalities. Based on the Brazilian debates on income distribution and Kuznets curve, specially the dual economy hypotheses, this research found a nonlinear relation between labor income inequality and industrialization, here considered as the share of industrial sector on product and jobs. Considering municipal data from 2000 to 2010, parametric (fixed effects, random effects and Tobit) and nonparametric (Kernel-Weighted Local Polynomial Regression) regressions offered relatively robust evidence suggesting that the curve relating inequality and industrialization has a “U-inverted” shape. In conclusion, labor income distribution is aggravated (reduced) when the industrial sector increases its share (on both the product and jobs), but, after a certain level, the distribution starts to get better.