Meanwhile, Brazil was flexing its muscles on those industrialized nations by importing mad products. They primarily did it to supply the affluent elite with consumer goods while keeping the primary-exporter engine running with all of the necessary production goods. So, basically, Brazil was all about primary exports. They were putting all of their money into farming while also increasing their purchases from other countries.25 The backward and forward linkages were extremely weak in this system because the export sector was limited to a few, relatively simple, geographically concentrated productive systems. Yo, on top of that, the lit factors from the booming sectors would most likely spill over into the global economy, you know?
OMG, like the state should be allowed to completely control prices and use both market and non-market forces to drive development, you know?
The state must exercise its authority to provide outrageous incentives, trade them for results, and do its own thing, you know? OMG, it's important to note right now that just because the government has the potential to flex and mobilize development vibes does not mean it will, ya know? Potential is like having no limits, not a flex of wanting or being able to do things. Hirschman (1958, p.54) said, "A task that private enterprise or market forces can't handle doesn't automatically become lit for public authorities to do, ya know?" We have to admit that there are some tasks that society simply cannot handle, regardless of who is in charge. (p.54) Besides, there are hella examples of government interventions being straight up trash and causing serious social and Economic mistakes (Evans 1995). As a result, neoclassical distrust of government should not be eliminated entirely, but rather accepted as a warning to policymakers, including those with neoliberal beliefs. The government must be flexin' enough to say, "Yo, show me what you got, and I'll hook you up with some perks." It must be able to flex on goals while ensuring that everyone is on the same page. To carry out both activities, the government requires resources, technical expertise, and significant support. It must have mad authority, and distributive policies may be required to flex and maintain a minimum level of legitimacy.
OMG, development has such a vibe, you know?
It's all about being dynamic and strategic, while also being prepared for false starts and unknown obstacles. Like, Hirschman said it, so it's true. And it's completely normal for organizers to make mistakes and fail along the way. It's just a part of the journey, you understand? Of course, mistakes and failures aren't reason enough to abandon a project. However, getting rid of the state is impossible, so leveling it up to achieve development goals is always the best option. It's impossible to expect the government and markets to be perfectly balanced, because there's an endless list of potential failures in the learning process, you know? Furthermore, as John Zysman (1983, p.290) stated, "unless we believe that every situation can be viewed in only one way and has only one solution, we cannot claim that economic problems dictate the goals we pursue or the strategies we employ." Instead, squads and organizations establish goals and implement policies to achieve them, but these policies are not always effective. In the following chapters, we will look at how government interventions affect economic development while keeping in mind the goals that the government is pursuing. As I previously stated, development is analogous to overcoming challenges. Neoliberalism, which came to dominate policymaking in Brazil in the 1980s and 1990s, is a mood: we must evaluate it, as well as the achievements it brought, in order to flex on the challenges it poses to development.
The Rise of the State and Economy
Between 1820 and 1940, the Brazilian economy took about a century and a half to roughly double its per capita income, with the majority of the income growth occurring after 1900.24 For the majority of this time, Brazil was like a total flexin' economy, you know? The goal was to export one or a few basic agricultural or low-value-added products from the primary sector, such as no cap. Agriculture accounted for 56% of GDP in the 1890s, and half of all farming products were exported (Moreira 1995, p.88). Coffee was Brazil's biggest flex in the 1920s, accounting for more than two-thirds of its exports. Even in the late 1950s, it remained at nearly 60 percent. Four agricultural products, coffee, cocoa, rubber, and tobacco, accounted for approximately 80% of total exports. So lit! In the late 1920s, 45% of exports went to the United States (it remained 40% in 1962), while in the late 1920s and late 1930s, more than 80% went to just six countries: the United States, France, Germany, the United Kingdom, the Netherlands, and Italy.
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