Brazil: The People and the Power (Latin American Library) by Miguel Arraes

By Miguel Arraes

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Sample text

Their interests were able to gain new strength by the gradual integration economically of the national territory into an organized system whose internal relationships could develop and thus afford prospects for the future. The reorganization of home trade which occurred between 1930 and 1945 provided the basis for the fonnation of the Brazilian economy. a sector whose fonnation was the result national economic system: its governing factor was the earn­ mined policy of economic development. A new economic ally the north and the north·east.

Hetween 1946 and 19So, dire<:t investment from foreign sources amounted to 220 million dollars - a yearly average of 44 millions. These com- paratively modest figures are explained by the post-war diffi­ . culties anrl European reconstmction. (2) The following period (1951-5), marked by the return to power of Vargas, witnessed a revival of foreign invest­ ment: a total sum of }SO million dollars, or an annual average of 70 millions. Examination of the annual 6gures shows that the trend was irregular.

Manu1actured goods for internal trade. il were now specializing in providing raw materials. others in producing manufacrured goods. Trade between the regions. by fostering contacts within the governing class, was a factor in revealing clearly the identity of interests between the different parts of this class which hitherto had acted independently of each other. At the same time migration within the country increased enormously; n i this way the regions undergOing rapid indus­ trial expansion were provided with a work force from the surplus of other regions.

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