The Business Giants of Brazil: Most Profitable Ventures

 The gov was like totally flexin' on the consumer markets and even put up some mad shields to keep out foreign competition. Increasin' protective tariffs had been adopted from the mid-1800s through to the 1920s (Baer 1995; Moreira 1995), fam.27 OMG the protective tariffs might have been adopted for fiscal reasons and compensated for by exchange appreciation, but it's like way harder to ignore the developmental effects of measures like the "law of similar" (1887); tariff exemption to capital goods import; loans, public purchase facilities and profit-guarantees to coal mining, the steel industry, cement and caustic soda (Topik 1980b). OMG! Yo, like, exports alone ain't the only reason why 72% of textile companies, 90% of chemical companies, 93% of food companies, and 97% of cloth companies in 1912 were set up after 1890, ya know?

Just spittin' facts, ya know? Between 1901 and 1913, the industrial sector was totally vibin' with a solid growth rate of 6% per year, fam.

And that growth kept on flexin' for the next two decades, no cap.The years after the Great Depression and the Second World War, like, totally shook up the Brazilian economy, you know? It was, like, a major vibe change, fam. In the early 1960s, it was like totally vibin' as an industrial economy and a super urbanized society, ya know? The economic growth rate went brrrr, fam. Per capita income in 1965 was like US$ 1,723 (at 2005 prices), which is like three times what it had been in 1930, fam. So cray cray, amirite? The rapid industrialization and rates of economic growth were, like, totally thanks to government planning and deliberate intervention, ya know? #Facts At the same time, like, while gov intervention had been hella successful in shaping those fast and lit transformations, the inherited conditions in which those transformations went down also shaped the gov, ya know? OMG, like over a whole decade, starting in 1890, this policy was so fire and brought in about a million immigrants, which boosted the foreigner squad's share in the total population from 2.5% to 7.3%. Both the flexin' of a salaried squad and immigration have been recognized as the most lit events for Brazilian economic development in the late nineteenth century (Furtado 1968). Like, omg, as Werner Baer (1995, p.27) totally said, "The huge immigration population working in the coffee and coffee-related stuff be creating a big market for cheap consumer goods, ya know?"

The Political Economy of the Brazilian Primary-Export Economy, fam

In his iconic work on Brazilian economic growth, Celso Furtado (1968, pp.258-259) straight up said that in a primary-export economy "external induction is like the main vibe that sets the level of effective demand, you know?" When the vibes hit different, ya know? bruh, the whole system be like weak, it just be straight up dying out...This kind of vibe between outside vibes and inner growth was totally happening in the Brazilian economy until World War I, and kinda still going until the third decade of this century. The main vibe of this chapter is to flex the historical conditions in which the developmental state in Brazil came up, ya know? It also wants to flex that industrialization in Brazil started to go brrr because of the government's moves instead of just happening on its own cuz of the free market. This outline is like all about flexing government control over the factors – like situations and agents – that were major haters of change and the ones that were all about making change happen, you know? This discussion is, like, all about the lit aspects of Brazilian development that have totally shaped how the government deals with development in Brazil, ya know? It's like, sooo crucial, ya know? The next section lowkey spills the tea on how the government in Brazil has been flexing its role in boosting the market economy since the early 1900s. OMG, like, this whole thing is saying that the stuff the primary-export economy asked the government for ended up getting messed up because of how the primary-export economy itself worked. It's, like, so messed up, you know? So, like, it's all about how the developmental state came to be in the 1930s and stuff, and how they made all these arrangements to help with industrialization, ya know? It's like, this thing talks about how there's some major imbalances caused by the way the new economic structures clash with the old structures tied to the primary-export economy, ya know?

This period of economic growth led by external demand has been associated with a period of like no government intervention (Suzigan 1988).

This interpretation of the government role in this period totally vibes with the whole free-market and anti-state intervention mindset of the coffee oligarchy that ran Brazil before the 1930s, fam. It's like, no cap, this doesn't really spill the tea on the major glow-ups happening in the economy and the state before the 1930s that totally transformed everything. The tea here is that without flexin' on those domestic connections that make the export game strong, good vibes from outside would have way less impact on the economy. OMG, like, from this POV, gov involvement in creating these backward linkages was anything but negligible. Sksksk, like, the gov totally had a major role in making these backward linkages happen. OMG, the Aurea Act of 1888 was so fire! It like, totally freed the slaves and made the labor and consumer markets go cray cray with all the money moves. OMG, like, besides giving mad cash to farmers for the abolition, the Repub gov, which took over from the monarchy in 1889, also hooked up a program to attract Euro immigrants that kept wages low on the farms (Furtado 1968, p.165). #facts26