Worrying signs: The weakness of the labor market

BRAZIL ECONOMICS - Report 30 Apr 2018 by Affonso Pastore, Cristina Pinotti, Marcelo Gazzano and Caio Carbone

When we revised our projection for GDP growth in 2018 to 2.2%, we assumed that expansion of household consumption, although less intensely, would lead to that result, and stressed that the performance of the job market was fundamental for that projection. The most recent data, however, trigger a warning light, indicating that the 2.2% growth projection might not materialize.

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