Skylar Hendriks

Mr. King

English 1

24 April, 2017

Brazil Economy

Throughout Brazils history there have been many issues with the government and

economy. Inflation has caused prices to greatly lower and items to be worth less than they ever

have been before, Brazil is facing its worst recession in history (PIIE). Brazil has a struggling

economy and government which is affecting how well the country functions and makes

decisions.

In 1998 Brazil became a democracy under the new president Jos Sarney. This was a

transition for many Brazilians because it was previously one of the world's fastest growing

economy and large monopolies were made. Brazil was also run by a military based government

and in 1988 the Brazilian constitution was formed stating that the country would then be a

democratic government under Sarney. This shocked many people within the country which is

why it has been at least slightly unstable since that time.

The constitution of Brazil was made to end a period of unfair military ruling, which could

have been a result of Brazil observing democratic surrounding countries and countries all over

the world that have been run successfully through a democratic government. The constitution of

Brazil was also a big deal in Brazilian history because for the first time ever citizens had rights

that were previously not rights, but had to be earned and could be taken away (The Brazil

Business).
 In addition to government instability, high levels of inflation have been a primary fault in the

economy, According to the estimates of dozens of economists in Mondays weekly central bank

survey, Brazils GDP will shrink 3.5% this year and grow 0.5% next year.(Rapoza). Recently,

the current president, Michel Temer passed a law to limit how much money his country spends,

which has caused an upset among people of higher classes and large businesses and is said that,

Expectations of a landmark pension reform and labor reform bill in 2017 are now

waning.(Rapoza). There have been many accounts of their slowly failing government and

economy and is an ongoing factor in Brazil.

As of right now, not a whole lot has been done by any government officials or political voices

to change the path of where Brazil is heading to, which is a storm waiting to happen.

Rapoza, Kenneth. "Brazil's Economy Goes Out With A Whimper." Forbes. Forbes Magazine, 26

Dec. 2016. Web. 26 Apr. 2017.

"Five Challenges Facing Brazil's New Government." PIIE. Monica De Bolle, 17 May 2016.

Web. 26 Apr. 2017.

"Introduction To The Brazilian Constitution." The Brazil Business. N.p., n.d. Web. 26 Apr. 2017