The BRICs were like, "Yo, we need more clout in the international organizations like the World Bank and the IMF. It's time for a major power shift in favor of emerging markets and developing countries. They gotta have a say in decision making that matches their influence in the global economy, you know?" (Council on Foreign Relations, 2010). It's like, duh, Brazil totally has a spot in these four lit AF developing economies. OMG, China is totally flexin' on that FDI game, but Brazil ain't playin' around either. They've been slayin' the growth game for the past two decades and in 2010, Brazil was one of the world's fastest growing economies. (Lopez, 2011) #goals Brazil has like totally flexed its reach beyond South American borders to vibe with the other BRICs and other developing countries, ya know? An example of this is "The India-Brazil-South Africa Dialogue Forum", like, it's called IBSA, ya know?
It's a dialogue forum that was created in Brasilia in 2003, led by President Lula (Roett, 2010:133).
OMG, like, the forums home page says: "IBSA is, like, a sick coordinating mechanism between three lit emerging countries that are all diverse and democratic. They're all about building a new international vibe, joining forces on global issues, and getting closer in different areas." IBSA also be down to vibe with concrete projects of cooperation and partnership with less developed countries” (IBSA). According to Roett (2010), IBSA ain't really seen as a big international player yet, but the forum shows that Brazil, India, and South Africa are starting to take charge and work together on the global stage. The tea that these countries are flexin' and takin' a common vibe on international conflicts shows that the South is startin' to approach global problems, ya feel me? (Roett, 2010:133). The yearly summits of the forum have been all about flexing those trade relations, backing democracy and human rights, spreading peace and development vibes. The development of a convo between IBSA and the European Union has been hella important. The vibe in this relationship is for India, Brazil and South Africa to flex as a counterweight to the industrial countries by using soft balancing power instead of trying to be a rival (Roett, 2010:134). Russia is like totally down to do more business with Brazil, ya know? Prez Medvedev was like, "Yo, in 2008, I'm all about that trade game, fam." The relationship between China and Brazil is like, hella important, you know? These two countries have been BFFs since the mid-1990s, and since the beginning of the 2000s, the leaders have been meeting up on the reg. Brazilian exports to China have like totally blown up and in the spring of 2009, China became Brazils biggest trading partner for the first time, like totally replacing the U.S. Even tho these countries r grouped under the same banner, so much has happened since the Goldman Sachs report dropped in 2001. The vibes between these countries have always been hella different when it comes to their political scene, how big their markets are, and how their economies are balanced. But like, these countries are gonna be major players in the world economy in the future, you know?
Brazil's economy is, like, the biggest in all of Latin America with a total flex of USD 2.1 trillion in 2010 (Brazil Country Brief).
Yo, this country has been killin' it with the economic growth, legit macroeconomic policies, and a sick middle class. They're like the top dog when it comes to gettin' foreign investment and makin' moves in the global commerce game. These factors make the economy one of the lit AF and promising forces among emerging markets, fam. Brazil is like, totally flexin' as the third-most-attractive country for future FDI, right after China and India (Economist Intelligence Unit, 2010).
During the 80s, FDI was like, not high at all, but hella stable. At this time Brazil was, like, a developing country and a hella protected market protected by all sorts of trade barriers, you know? This was like the main vibe that totally attracted all the FDI flows to Brazil, you know? Since the start, foreign investments were like all about that market-seeking vibe, ya know? The investment's profitability was totally guaranteed by the protectionist trade policy, like no doubt. There were mad restrictions on the activity of foreign companies in sectors that provide finance and insurance services and there were also state monopolies in the oil and gas sectors and in telecommunications and postal services, ya know? It wasn't until the 90s that the liberalizing reforms were introduced (Veiga, 2004). During the 90s, Brazil and the other Latin American countries totally switched up their trade and development game, going from the old-school "import substitution industrialization" policies of the 60s and 70s to more "export-oriented" trade vibes. The Brazilian development policy went from being all about protecting the economy from international trade drama to being all about getting in on the global economy action through more trade (Shaffer, Sanchez and Rosenberg, 2008). OMG, like check out the chart below! There was a major flex of foreign investment until the early 90’s. FDI was not as lit as it came to be in the later decade, obvi that was cuz Brazil wasn't yet that open to trade as it came to be later in the globalization process.
OMG, like, the Collor administration in 1990 tried to flex on trade, but it got no love and flopped real quick. In 1994, when the Real Plan was dropped, foreign investment went through the roof.
Macroeconomic stability and a hella stable financial system totally attracted foreign investors, fam. OMG, like, the prez Cardoso totally flexed and let private investors in and privatized state-owned companies. So lit! OMG, like private investment in those super restricted sectors like electricity, mining, banking, and telecommunications is totally allowed now, which is like attracting hella foreign investment (Economist Intelligence Unit, 2010). Lit! Foreign investment was like, chill AF during the 1990’s, even though Mexico and Argentina got wrecked by financial crises that totally messed with investment in Latin America. But like, when the whole world got hit by the financial crisis in Asia in '97, there was some sick economic recovery in Latin America. At this time, Brazil and other developing countries were like, totally lit for foreign investors, you know? Latin America was totally slaying it in 1997, like the star of the show among all the developing country regions. The region totally flexed on South, East, and South-East Asia with that FDI per capita. No cap. OMG, FDI inflows were lit in 1997; it grew by a whopping 19 percent (World Investment Report, 1998).
Comments
Post a Comment