Brazil’s rate of fixed investment as a percentage of GDP is too low to achieve sustainable economic expansion of 4.5 percent annually, according to Albert Fishlow, Professor Emeritus at Columbia University and the University of California at Berkeley.
Fishlow spoke this morning about Brazil’s economic prospects under the Rousseff administration at a lecture hosted by the University of Miami’s Center for Hemispheric Policy. Mauricio Mesquita Moreira, Principal Economist at the Inter-American Development Bank, and John Welch, Chief Emerging Markets Strategist with Macquarie Capital, joined Fishlow on the panel of experts.
Brazil’s level of investment-to-GDP was 18.7 percent in 2010. This figure pales in comparison to China’s (45 percent) and trails investment rates of other Latin American nations, including Peru (24 percent) and Chile (23 percent).
In order to realize sustainable growth, investment in Brazil will require more domestic savings and less reliance on foreign capital, which is unpredictable. The key to lifting per-capita incomes—one of the goals of the Rousseff administration—is to increase productivity. This will require much more investment, says Fishlow.
Fonte
Economia
- Direto Do The New York Times Editorial Board: Brazil’s Next Steps.
After a decade of fast growth and rising incomes, Brazil has hit a rough patch that is testing its government’s ability to manage the economy and satisfy the growing aspirations of its people. President Dilma Rousseff, who faces elections next year,...
- Brasil - Crescimento Econômico Parou
The Brazilian Ego Falters Along With Country’s Economy By Dom Phillips Just a few months ago, Brazil's government dreamed of a 4 percent economic expansion for 2012. With second-quarter statistics in -- GDP grew just 0.4 percent over...
- Reavaliação Das Perspectivas Econômicas Brasileiros
The Economist analisa: "... A reassessment of Brazil’s recent performance is overdue. Between 2000 and 2010 Brazil’s terms of trade improved by around 25%; in the past five years private-sector credit doubled. Such tailwinds cannot continue to blow—and...
- Crescimento Econômico - Comentário Do Banco Central
-- Brazilian central bank President Henrique Meirelles said he’s “comfortable” with the current pace of economic growth, adding that expansion will slow to a level consistent with long-term equilibrium. Meirelles said gross domestic product will...
- Fim Da Tranqüilidade
"... Brazil’s bid to wean itself off floating-rate debt, a legacy of 1990s hyperinflation, is faltering as the central bank boosts benchmark borrowing costs from a record low. The percentage of the government’s 1.59 trillion reais ($896 billion)...
Economia
Taxa de investimentos do Brasil insuficiente para manter crescimento
Low Investment-to-GDP Rate Threatens Growth in Brazil
April 1, 2011 By
loading...
- Direto Do The New York Times Editorial Board: Brazil’s Next Steps.
After a decade of fast growth and rising incomes, Brazil has hit a rough patch that is testing its government’s ability to manage the economy and satisfy the growing aspirations of its people. President Dilma Rousseff, who faces elections next year,...
- Brasil - Crescimento Econômico Parou
The Brazilian Ego Falters Along With Country’s Economy By Dom Phillips Just a few months ago, Brazil's government dreamed of a 4 percent economic expansion for 2012. With second-quarter statistics in -- GDP grew just 0.4 percent over...
- Reavaliação Das Perspectivas Econômicas Brasileiros
The Economist analisa: "... A reassessment of Brazil’s recent performance is overdue. Between 2000 and 2010 Brazil’s terms of trade improved by around 25%; in the past five years private-sector credit doubled. Such tailwinds cannot continue to blow—and...
- Crescimento Econômico - Comentário Do Banco Central
-- Brazilian central bank President Henrique Meirelles said he’s “comfortable” with the current pace of economic growth, adding that expansion will slow to a level consistent with long-term equilibrium. Meirelles said gross domestic product will...
- Fim Da Tranqüilidade
"... Brazil’s bid to wean itself off floating-rate debt, a legacy of 1990s hyperinflation, is faltering as the central bank boosts benchmark borrowing costs from a record low. The percentage of the government’s 1.59 trillion reais ($896 billion)...