The Frustrated Bet on Fast Return to Growth

BRAZIL ECONOMICS - Report 07 Nov 2016 by Affonso Pastore, Cristina Pinotti, Marcelo Gazzano and Caio Carbone

The most recent data on economic activity indicate GDP contracted again in the third quarter. Due to the shrinkage of world trade and weak commodity prices, there is no hope for exports to act as a force to drive recovery. Nor can this be expected from household consumption, which continues being discouraged by the drop in the occupied population and wages along with contraction of new credit concessions, which is a natural reaction of banks to the high default risk. The need for fiscal adjustment will also prevent countercyclical measures from the government, leaving fixed capital investments as the only impulse to growth.

Now read on...

Register to sample a report

Register
Sign-in
Forgot your password?
Copyright 2024 GlobalSource Partners. All rights reserved. This report is prepared for GlobalSource Partners’ clients and may not be redistributed, reproduced, stored in a retrieval system, retransmitted or disclosed, in whole or in part, or in any form or manner, without the express written consent of GlobalSource Partners. This report is distributed simultaneously to our website and other portals used by GlobalSource Partners. The information herein was obtained from various sources and is believed to be reliable but GlobalSource Partners does not warrant its completeness or accuracy. Neither GlobalSource Partners nor any Country Analyst, officer or employee accepts any liability whatsoever for any direct, indirect or consequential damages or losses rising from any use of this report or its contents.