Development of Brazil's Market Essay Example | Topics and Well Written Essays - 1000 words

Development of Brazil's Market - Essay Example The process of industrialization that took place around the year 1960 led to the development of economic sectors like the automobile industry, steel industry and the expansion of the infrastructure ventures. After world war two, the economy of Brazil rose and by the year 1975 it had an annual Gross National Product of 7.4%. On the other hand, the Gross Domestic Product (GDP) was ranging to 8.5%. Moreover, by around 1970s the per capita income of Brazil multiplied four times putting it at around US$ 2,200. Around the year 1980s, United States made a significant step that in turn affected the international trade market. It increased the rate of interest in the capital market. That factor made Brazil make an adjustment in the economy, which later translated to the economy of Brazil dropping so drastically. From the year 1990, Brazil made several reforms in the economy like privatization of certain industries, tightening measures in the economy that encourages foreign investment. Further more from this decade, Brazil resorted to supporting the internal economy; therefore it decided to encourage investors in the country. In an effort to implement new changes, Brazil experience inflation, until they decided to improve income distributing. The Brazilian exchange market for the year 2009 was at 25%, however, three years later BOVESPA showed negative deviation reduced to 20%. In the successive years, the stock exchange market has drastically dropped to the extent that most of the people do not want to talk about the market trend. The primary reason as to why there was a decrease from the year 2013 was because of low demand for the products of China that is the principal trading partner. In addition to that, the kind of leadership in China has also contributed the dwindling in performance in the stock exchange market. The female president who was elected in the year 2011 concentrated much on the on the banking and other