Brazil crisis may open “correction” opportunity

Brazil crisis may open “correction” opportunity

Chamber Articles Category: Economic News Post Date: 07/06/17 Source: Valor International By: Valor International
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The combination of a political class that clings to power and influential business leaders desperately seeking wealth with elected leaders willing to negotiate has deformed the Brazilian state's patrimonial system, says economist Eduardo Giannetti. The problem reached such a point that “it opens an opportunity for a profound correction,” he says.

The changes depend on a political and economic reform that next year's presidential election “could make viable.” The economist predicts two possible scenarios for 2018: polarization or dispersion.

The former will happen if former President Luiz Inácio Lula da Silva runs for office, who would certainly attract some right-wing challenger like São Paulo Mayor João Doria or controversial Federal Deputy Jair Bolsonaro. The campaign would be violent and resentful in this case Read Full Article