THE BRAZILIAN ECONOMY: A REVIEW

The initial section of the study covers (1) Brazil's geographic setting, (2) the country's social profile, and (3) the governmental form in Brazil. These factors provide the environment within which Brazil's economy develops and functions.

The remaining sections, the bulk of the review, cover various aspects of Brazil's economy. The topics covered include the following: (1) overview of the economy; (2) economic development; (3) industrial structure; (4) trade and investment; (5) infrastructure; (6) economic aggregates; (7) foreign debt; and (8) important industries. The review concludes with an economic outlook for Brazil.

Geographically, Brazil is the largest country in South America, with an area of somewhat more than 8.5 million square kilometers. Brazil occupies almost all of eastern South America, and has borders with Argentina, Bolivia, Colombia, French Guiana, Guyana, Paraguay, Peru, Surinam, Uruguay, and Venezuela. Maps of Brazil are presented on the following two pages to provide the reader with perspective of Brazil

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cted, if chaos is to be avoided, or, as former president Sarney said, avoid setting the fire to the powder keg. Although Brazil's government may appear somewhat radical to some observers in the first world, it is actually much more conservative than would be expected. When Brazil held free elections in the mid-1980s to return the country to civilian democratic rule, Tancredo Neves, leader of the Democratic Movement of Brazil Party (PMBD) won the presidency. Neves was a true radical socialist in the American connotation of the word. He had recruited the conservative Sarney as a vice presidential candidate to balance his ticket. Remarkably, on the eve of his inauguration, Neves suffered a heart attack from which he never recovered, and he never became president. Rather, Sarney was inaugurated as president, and prior to the election, he had led the pro-military faction in the Brazilian congress. Sarney, as president, granted amnesty to the military and police for torture and other abuses committed during the period of military rule. Sarney also reshuffled the Neves cabinet to provide a more conservative orientation, and to preserve military control, or, at least, a military veto in the cabinet. Thus, whatever the leaders in
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Approximate Word count = 3677
Approximate Pages = 15 (250 words per page)

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