News that Brazil last year overtook the UK to become the world’s sixth largest economy is further evidence, if any was needed, of the continued rebalancing of global economic power towards the emerging world. But at the same time, the fact that Latin America’s largest economy flatlined over the second half of 2011 has slipped under the radar. While Brazil’s rise up the global league table is likely to continue over the coming years, its growth model is under increasing strain. Sustaining growth of more than 4% a year will require rebalancing the economy away from consumption and towards investment – something we fear will be easier said than done.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services