Economic growth and uneven development in Araquari (SC): An analysis using shift-share and location quotient

Abstract

The study analyzes the effects of the establishment of BMW and other large companies in Araquari, Santa Catarina, Brazil, highlighting municipal economic growth and the resulting social contradictions. It adopts a single case study, an exploratory mixed-methods (qualitative and quantitative) approach, and a time frame from 2006 to 2022. The research applied structural-differential analysis (shift-share method), which decomposes growth into National Effect (NE), Industrial-Mix Effect (IME) and Local-Specific Effect (LE), along with the calculation of the Location Quotient (QL) to assess employment trends and sectoral specialization. Documentary research included economic and social data aligned with the Sustainable Development Goals (SDGs). The findings reveal an emerging industrial hub, with significant increases in per capita GDP, tax revenues, and job creation, driven by tax incentives and the municipality's strategic location. However, indicators such as sanitation, education, and public safety point to persistent inequalities, underscoring the challenges of translating growth into social development. The analysis, grounded primarily in the works of Perroux, Marshall, Lefebvre, Santos, and Sen, problematizes capital concentration and the socio-spatial effects of industrialization, emphasizing that Araquari, although relevant within the state of Santa Catarina, displays a growth model dependent on large corporations.