MUNICIPAL STATE CAPACITIES

PERFORMANCE AND DEVELOPMENT OF MUNICIPALITIES IN THE LEGAL AMAZON

Abstract

This research aims to analyse the relationship between the state capacities of the municipalities of the Legal Amazon region and their municipal development. It used the factorial analysis technique, which indicated the intensity of the relationship between the variables and their factors, attributing weight to the analysed variables, and through the values assigned by Stata, we created a Municipal State Capacity Index (ICEM) and then a municipal ranking of state capacities. Further, using a correlation matrix, the ICEM was correlated with the Municipal Human Development Index (HDI). When testing the model, ten variables proved adequate and could explain about 64% of the variation in municipal state capacities. We found that the municipalities of the Legal Amazon have deficit capacity indices since the municipalities with low, very low, or very low ICEM represented 62% of the analysed municipalities. In the analysis of the intensity between the ICEM and the IDHM, the correlation matrix showed positive results, meaning that when the value of a variable grows, the other also grows.