Transcript BRAZIL: HISTORICAL OVERVIEW

BRAZIL
HISTORICAL OVERVIEW
Osvaldo Jordan
September 24, 2009
HISTORICAL OVERVIEW
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1822-1889. Brazilian Monarchy.
1889-1930. First Republic.
1930-1964. Second Republic.
1964-1985. Military Dictatorship.
1985-2007. The New Republic.
THE MONARCHICAL PERIOD
• 1808-1821. The Portuguese Monarchy moved
to Brazil to escape the Napoleonic Wars.
• In 1822, the people asked King Pedro I to
remain as the Brazilian Monarch.
• The weak Brazilian Monarchy established the
foundations of FEDERALISM.
• The persistence of African slavery was opposed
by POSITIVISM (Order and Progress).
• Slavery was finally abolished in 1888, and a
year later, the Monarchy was dissolved.
THE FIRST REPUBLIC
• Domination of the coffee-growing elite of
Sao Paulo.
• They alternated power with the dairy
producers of Mina Gerais (Café con Leite).
• The military intervened in politics
intermittently.
• As in the rest of Latin America, the Great
Depression brought the demise of the
coffee-export elite.
THE SECOND REPUBLIC
• Getulio Vargas created the Estado Novo
(New State).
• He decided to eliminate the Brazilian
dessert economy, and promoted Import
Substitution Industrialization (ISI).
• He also established minimum wage and
labor protection for the workers.
• The central government was strengthened
for the first time in the history of Brazil.
THE SECOND REPUBLIC
• Vargas dominated Brazilian politics until his
death by suicide in 1954, and was soon followed
by Juscelino Kubitschek (1956-1961).
• Kubitschek was the founder of the new capital of
the country in the hinterland, Brasilia .
• Celso Furtado (ECLA) became his chief
economist.
• The successor of Kubitschek, Joao Goulart was
accused of communism by his opponents.
• In 1964, The military decided to stage a coup to
save the country from a new Cuban Revolution.
THE MILITARY PERIOD
• In contrast with previous times, the military
decided to stay in power indefinitely, following
the New Professionalism (Alfred Stepan) and the
National Security Doctrine.
• They abolished independent political parties,
centralized authority, and closed Congress in
several occasions.
• Chief Economist Antonio Delfim Netto advocated
for export-led growth.
• 1968-1974. Brazilian Miracle. GDP Annual
Growth averaged 11%.
THE MILITARY PERIOD
• The military embarked upon many
pharaohnic development projects.
• They also advocated for the Colonization
of the Amazon (The Brazilian Frontier).
• There were numerous human rights
violations, including many desaparecidos.
• The First Oil Crisis (1973) shook up the
foundations of the Brazilian Miracle.
THE MILITARY PERIOD
• The military responded by borrowing money
from European and American banks
• The Second Oil Shock (1978) signaled the
collapse of the Brazilian economy.
• In the middle of a deteriorating economy, the
military allowed for a political opening.
• A new independent labor union was formed
under the leadership of the leader of the
metalworkers Luis Ignacio Da Silva (Lula).
DEMOCRATIC TRANSITION
• Increasing interest rates multiplied the foreign
debt of Brazil, and by 1982, the country declared
bankruptcy following Mexico (120 billion).
• In the middle of recession, new political parties
were formed, including the Worker’s Party (PT).
• These new political forces demanded for Direct
Elections Now! (Diretas Ja!).
• In 1985, Jose Sarney became the first civilian
President in more than twenty years.
THE NEW REPUBLIC
• The Sarney administration implemented the
Cruzado Plan for currency stabilization, and
approved a new constitution in 1988.
• In 1990, Fernando Collor de Mello (PMDB)
became the first President elected by direct vote
after the military dictatorship.
• He implemented Structural Adjustment (SA) by
privatizing government enterprises and lowering
tariffs.
• He was the founder of MERCOSUR that also
includes Argentina, Uruguay, and Paraguay.
THE NEW REPUBLIC
• Collor de Mello was impeached in 1992, and
replaced by Vice-President Itamar Franco.
• A year later, Fernando Henrique Cardoso
became finance minister and devised the Real
Plan.
• Cardoso (PSDB) wan the presidency in 1994,
and was reelected in 1998.
• As President, he continued the implementation
of SA, and virtually finished with the existence of
state enterprises.
• In 2002, Lula (PT) was elected as President for
the first time, and later reelected in 2006.
THE NEW REPUBLIC
• Lula launched the Fome Zero (No Hunger)
Program and strengthened Land Reform.
• He opposed American protectionism in the
FTAA negotiations, and expanded Brazilian
exports to South Africa, India, and China
(Pluricentric Regulated Globalization).
• He also opposed American, European, and
Japanese protectionism in the World Trade
Organization (WTO).
THE LULA PLATFORM
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Social Reform
Fome Zero (Zero Hunger)
Land Reform
Economic Growth
Export-Led Development (ethanol, soy
bean, oranges).
- Technological Advance (deep-sea oil
drilling, ethanol technology).
- International Expansion (Petrobras,
BNDES, construction companies).
THE ETHANOL ALLIANCE
THE LULA PLATFORM
• Brazilian Internationalization
- MERCOSUR, UNASUR, Bank of the
South.
- Counterbalancing US Foreign Policy?
- Special Peace and Security Missions.
- International Mediation (Harris), or
Brazilian Imperialism (Zibechi)?
BREAKING WITH THE LEFT?
• Political Corruption (The Mensalao
Scandal).
• Failed Land Reform and Paternalistic
Fome Zero?
• Promoting International Capitalism (The
Ethanol Alliance).
• Environmental Destruction (Nepstad
Model).
• Grassroots Opposition (Altamira Protests).
ALTAMIRA PROTESTS
THE 2010 ELECTIONS
• Lula’s Reelection? Currently 81%
National Approval.
• A continuation of the Workers Party (PT)
with Dilma Rousseff?
• A new Brazilian Left, Marina Silva from the
new Green Party?
• The return of the Social Democratic Party
(PSDB) with Jose Serra?
What will be the future of Brazil: A
Champion of Social Justice or the
New South American Empire?
• World Social Forums (Porto Alegre, 2001, 2002,
2003, and 2005). In opposition to the World
Economic Forum that is celebrated every year in
Davos, Switzerland.
• However, according to Zibechi, “the state-owned
Petrobras is the archetype for the current
expansion of Brazil in South America”.
• He also mentions the National Bank of
Economic and Social Development (BNDES)
and Norberto Odebrecht.