With Brazil on brink of recession, Bolsonaro scoffs "I said I didn't understand economics"

[sandensea]

Brazil's Geography and Statistics Institute (IBGE) reported last week that the nation's GDP slid 0.2% in the first quarter. Compared to the first quarter of 2018, GDP grew only 0.5% - its worst result in two years.

This was followed by reports that unemployment rose another 0.5% in April, to 12.5%.

These were unwelcome news to President Jair Bolsonaro, whose right-wing administration is now languishing at around 35% job approval just five months after taking office.

The president, however, remained defiant.

"I already said that I didn't understand economics," Bolsonaro shot back when asked about the recent data. "Those who understood sunk Brazil; I have 100% trust in the economics of Paulo Guedes."

Guedes, Bolosonaro's Economy Minister, has pledged to revive growth in Brazil through deregulation, tax cuts, budget cuts, and privatizations.

This supply-side cocktail, already enacted in neighboring Argentina in 2015 by Mauricio Macri, resulted in the sharpest downturn (6.2% as of March) since that country's 2001-02 collapse - itself on the heels of the similar policies.

Brazil's economy, the largest in Latin America and the 9th largest in the world, is now threatened by recession - something considered unlikely a few months ago. The country had already endured a deep recession in 2015-16, followed by a weak recovery of 1.1% annually in 2017 and '18.

This has left Brazil's GDP at 2011 levels for the last three years.

At: https://translate.google.com/translate?hl=en&tab=wT&sl=pt&tl=en&u=https%3A%2F%2Fwww.minutouno.com%2Fnotas%2F5034769-brasil-esta-al-borde-la-recesion-y-bolsonaro-se-ataja-yo-ya-dije-que-no-entendia-economia

Brazilian President Jair Bolsonaro with his supply-side "Chicago boy," Economy Minister Paulo Guedes:

"I told you I didn't understand economics!"

[Iliyah]

1. That did not take long . . .

[calguy]

2. The only these right wingers are good at is tearing stuff down

Their narrow minds won't allow them to create something of value once they've torn it all down.

[Judi Lynn]

3. Here's hoping the fascist faction in Brazil which sustained the military dictatorship so long

and created the weekend demonstrations in Brazil during Dilma Rousseff's administration, and railroaded her, then maneuvered this clearly disturbed man into office won't be able to prop him up and turn his results around.

People don't call him "Trump of the Tropics" for nothing, do they?

He is far less polished than Macri, but every bit as treacherous.

Thanks for the information, sandensea.

[sandensea]

4. Well said, Judi. Only real difference btw Macri and Bolso, is that Bolso's like the honey badger:

he "don't care."

Macri doesn't either of course - but he does care about appearances, and very much so.

You may recall that Macri's initial PR goal - around 2016 or so - was to somehow win over progressives ("oh, look! He posed with Obama!" -- "oh, look! He supports wind energy!" ), while still cramming as many neo-con policies down the system as he could possibly get away with.

Well, his wind energy policy worked well - especially for his family, which brazenly (and possibly illegally) profited by up to $70 million in 6 different wind farm resales.

But overall, his adopting Bushonomics, as you and I could have told him, led to an inevitable Bush-style crisis.

Looks like Bolso's headed the same way. I hope his much-touted "love for country" prevails on him enough to let him see that following Macri in his casino-capitalist folly won't do Brazil - or him - any favors.

Thanks as always for reading and replying, Judi. Interesting times, these.

[Judi Lynn]

5. Bolsonaro and honey badgers would seem to share a sense of deep respect for others, for sure!

Equally pleasant, as well!