How developed is Brazil?

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How developed is Brazil?

BRAZIL Economic

A Case Study of:

- Developments in two contrasting regions of a country (South East / Amazonia / North).

- Strategies used by a government to improve the economy (in a developing country).

- Exploitation of new resources within a country.

- Impact of economic / industrial development on the environment of a region or country.

Setting the scene - How developed is Brazil ?

Brazil, alongside Mexico is considered one of South America's newly industrialising countries.


Main exports

Metallic ores, coffee, fruit, chemicals, machines, weapons

In 1991 Brazil had a debt of $123 billion.This is owed to the USA, the
EEC, Japan
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Prices for Brazil's exports fell on the world market (coffee, other food items).

5. The International Monetary Fund has pressured Brazil to change the economy - gave government targets to reduce government spending and borrowing (called Structural Adjustment Policy)

Pressure: debt repayment forced exploitation of natural resources:

- The rainforest

- Fast flowing rivers

- Mineral wealth beneath the surface e.g gold, iron, bauxite, copper, manganese

- Land available for creating estate farming cash crops

Issues facing Brazil in late 20th century:

Interest rates have continued to rise ----- Brazil has paid it's debt many times over. Poor have continued to get poorer and poorer. Brazil finds it hard to produce the food it needs as it is taking up any growing area with cash crops and making products that suit other countries' needs. The industries that there are have slumped and there are very few jobs to go around. Each product that they make can be bought more cheaply elsewhere, so their debt increases as their products decrease.

What strategies are the government using to boost development ?

The government has set up several new schemes.

1. Trans Amazon Highway (interior on west - east axis). Built in 1970's. Designed to open up Rondonia state.

2. New network of motorways interconnecting the cities on south (South East region)- eastern coastal strip: multi lane highways. This
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