Exam 12: Brazil

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A good answer will note the several features of bureaucratic authoritarianism in the Brazilian context.Fearing that weak democratic institutions were susceptible to communist infiltration,the military took and held power in 1965,banned the constitution (replaced with authoritarian one),banned all parties except two officially sanctioned ones,took control of trade unions,and severely restricted civil liberties.The military control (1965-1984) was supported by conservative business elites,technocrats,and most members of the upper and middle class.A primary legacy of the military rule is that the military is still a considerably powerful arm of the state and remains more autonomous than in most democracies; although politicians have restricted its budget and purged members of the military responsible for human rights abuses,the military refuses to apologize for the abuses.

Correct Answer:

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A good answer will explain all three problems.(a) Inflation was a key reason for the democratic breakdown in 1964 and,even after the military took power,inflation remained high,spiking again during the oil crisis of the 1970s and,due to increased state spending,hurting the poor disproportionately.(b) During the military rule,public debt also increased as Brazil's rulers borrowed heavily from international creditors and,up until 2002,remained heavily indebted,culminating in having to borrow from the IMF to pay off loans-recently,Brazil has paid off the IMF loans early,however.(c) Even though Brazil's rapid economic growth in recent years has reduced unemployment,it remains the single largest cause of significant inequality and poverty,with nearly half of the workforce employed in the informal economy-depriving the state of tax revenue and workers of welfare benefits.Democratization has had a marginally positive effect on these problems,with a gradually reduced role for the state in the economy bringing lower inflation rates and higher levels of growth.