Geographical indications and their impact on territorial development: Empirical evidence for brazilian municipalities

Abstract

The promotion of Geographical indications (GIs) as a development intervention has gained growing support. However, despite discussions related to the development resulting from GIs, studies quantifying the impact of public policies for geographical indications are still scarce. In an attempt to fill in this gap, this paper evaluated the effect of geographical indications (GIs) in the process of territorial development of Brazilian municipalities, focusing on the coffee and wine GIs. Therefore, we employed the Propensity Score Matching method. Our results demonstrated a positive mean effect for most of the variables selected, evidencing the importance of the GIs for territorial development.