Economic Growth and Michael Dezarn Gary Essay

Submitted By michaelsdezarn
Words: 403
Pages: 2

Michael Dezarn
Gary W Hall
MGMT 338

Using the materials presented in the videos, what are the major strengths and weaknesses of the Brazilian economy? Do you feel that Brazil will become a greater force in the world market place? If so, why?

Economic Future for Brazil
Brazil has made major leaps and bounds in regards to economic growth, but recent shortfalls and economic struggles have raised concerns for what the future holds for their current and future financial health. A self-reliant country in terms of food, fuel, water and massive agriculture real estate, but Brazil has recently struggled during the last couple of years. Nevertheless, the populous has remained optimistic for the most part and many feel the struggle is a temporary condition during the path of becoming a global economic powerhouse.
While Brazil has gone through an amazing economic transformation during the past 15 years due to the inflow of capital from the export of iron ore, beef and other various commodities, it has also created a hyperinflation environment. The cost of living has been increasingly high in Brazil and the locals are feeling it! The local currency continues to weaken while the rapid inflation growth tends to be overwhelming, but this could be considered a good thing in terms of guarding against the threat of imported competition I guess. GDP growth has come to a near flat line and when you couple that with high inflation it doesn’t make for a promising economic outlook.
On the other hand, due to the upcoming