In the early 1990s, the protection and preservation of the Amazonian rain forest has become an international environmental issue (Clay, 1990). To be sure, the issue was raised nearly two decades ago by some environmental activists, but few people listened at that time (Clay, 1989). Now, however, Brazil is roundly condemned for threatening the rain forest through the pursuit of economic development. This research examines the problem of economic development in Brazil, within the context of environmental concerns over the protection and preservation of the Amazonian rain forest.
BRAZIL'S ECONOMIC AND SOCIAL SITUATION
Brazil has experienced and continues to experience serious economic and social problems. Some people in the first world tend to view Brazil as a country out of control. Such judge ments, however, are made by people residing comfortably in developed economies, with little understanding or appreciation of what is required to move the world's sixth largest country (population), and tenth largest economy (gross national pro duct) from the status of a developing country to that of an economic power. Most of the world's developing countries have a net external debt in 1990. Some of these countries, however,
1 2have a much larger external debt than do others. Brazil is thelargest debtor in the Third World, with an external debt approximating US$108 billion (The World Bank, 1989).
External debt has a major impact on the ability of a developing country to deal with social problems, environmentalproblems, and domestic economic development. In order to assess the implications of external debt, it is necessary to relate a country's debt to other macroeconomic measures. Bra zil's external debt equals 46.7 percent of its gross national product GNP, and 49.1 percent of the country's gross domestic product GDP (The World Bank, 1989). If Brazil was a family rather than a country, it would have already been for...