US Financial Crisis: Decoupling and the Brazilian Economy



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Code : ECC0036

Year :
2009

Industry : Banking, Insurance and Financial Services

Region : Brazil

Teaching Note: Available

Structured Assignment : Available

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Introduction: Brazil over the past 25 years had its own share of economic crisis, which had an adverse impact on its economic stability and growth. In 1980's Brazil defaulted on its external debt, as it was not able to honour the interest payment on the debt, which resulted in debt crisis. The foreign debt crisis "triggered an acute inflationary process that reached 2,012.6% in 1989 and 2,851.3% in 1993".2 Brazil perennially faced hyperinflation. Hyperinflation plagued the country due to the foreign debt crisis in 1980's and early 1990's.

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