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Marcos Estrada De Oliveira

K0331193

Why is the gap between poor and rich so large in Brazil? Would be an understatement to describe Brazil, as one of poorest country, when in reality Brazil is one of the most unequal. Thus, the inequality is bigger than the poverty. It is not difficult to see poverty in Brazil when 46.7% of the National income is concentrated with just 10 per cent of the population1 and the 10% porest has 0.5%. Since the Portuguese Pedro Alvares Cabral “discovered” Brazil on 22nd of April 1500, until the election of actual president Luis Ignacio da Silva, know as Lula, there is a staggering level of inequality. It is known that there were people living there, however they were not seen as owners that land. That was the beginning of the inequality. The exploitation of Brazil was massive. The “ingenuous” of the native habitant was so unmeasured that was not so difficult to the Bandeirantes- religious that supposedly were sent by the Portuguese crown to convert the Indians and educate the colonists- to takeover what they saw as new world. Manoel de Nóbrega - a head of a group of Bandeirantes – described what he saw, ‘they are not certain about any god, and believe anyone who tells them he is a god… a few letters will suffice here, for it is all a blank page.’2 Although the bandeirantes converted Brazil in a catholic country- as it is to this days- the Indians became hostile when they realised that bandeirantes more than to “convert”, wanted to slave them. After to find out that Indian would be inappropriate to work- money was not an incentive to Indians, and Indians male refused to work in agriculture those days, because it was a light work for women. The Portuguese crown started to ship slaves from African to replace the Indian work, initiating -in hole senses - a black period of Brazil.It is estimated that between 10 000 and 15 000 Slaves were shipped to Brazil.3 The exploitation took place until 1888 when the Lei Aurea -golden Law- abolished slavery in Brazil. The act was not based just on the will of Princess Isabel, but also on the external pressure from Britain that would be affected. The slave produced sugar from Brazil would prove cheaper in the world market than sugar from the British west Indies, where slavery had recently been abolished.’4 The slaves firstly worked on the extraction of Brazil wood, and production of sugar until early 18th. When the production declined. What was seen in the last 500 years is a small ruling class against a huge exploited class. Although the slavery was abolished more than 100 years ago, inequality remains. Brazil is ranking the 72nd position in the 2004 Human development report5 that measures the level development around the world. Brazil is a country of contrasts; 1

UNPD Human Development Report 2004 [Online].[ accessed 22 Out 2004]. Avaliable from World Wide Web, http://hdr.undp.org/statistics/data/pdf/hdr04_table_14.pdf 2

Bakewell, P. (1997) A history of Latin America. Blackwell. Pg 304

3

Bakewell, P. (1997) A history of Latin America. Blackwell. Pg 310

4

Skidmore, T. (1997) Modern Latin America .OUP. (4th ed).Pg 150


meanwhile the federal police-it has to be sublimed that is a public employment- had un strike of 61days demanding better wages- according to them the wages that are between $ 1486 and $ 2758 are unfair6, one-third of the Brazilian population – almost 61 million of habitants - is living with less than $ 1.00 per day; 7 Such fact classifies Brazil as the 7th most unequal country in the planet8. Nowadays the president Lulathat was elected in 2002- has been challenged to eradicate hunger by the end of his govern, promise made by him among run to election. The project “hunger zero” is one of objective of MDG program -Millennium Development Goals- supported United Nations that is running well, however furthermore has to be done. ‘There is much optimism within Brazil about the social improvements that Lula will be able to bring about. However, it is still not clear to what extent the political alliances that will need to be made may impact on Lula’s objectives.’9 Lula is considered by many Brazilian a faith to equalise Brazil, his humble origin was a barrier to his selection. He was born in the northeast -one of the poorest part - of Brazil, has the lowest level of instruction between the presidents that Brazil had had for while; he has the equivalent of ???????, and he is an ex-metal worker. Lula after to become a member of an union worker 1969, become closer to the workers struggle and not very late in 1975 became representative leader, function that carried out until 1980, when he founded the labour party in Brazil. Lula led many strikes in the ABC Paulista –an industrial polo- in Sao Paulo. In 1982 presented as governor of the state of Sao Paulo. Although Lula did not win, he stayed on 4th position, beating important politicians. He is the first left wing to be voted over 40 years. Although a left wing president is governing Brazil, no many things have changed since his was elected. The president, 513 deputies and 81 senators spread the Federal control of Brazil. Everything has to be approved by the Câmara dos Deputados and Senado Federal before to become official.

5

UNPD Human Development Report 2004 [Online].[ accessed 22 Out 2004]. Avaliable from World Wide Web, http,//hdr.undp.org/statistics/data/country_fact_sheets/cty_fs_BRA.html 6 Folha de São Paulo Policiais federais mantêm paralisação em todo o país (30/05/2004)[Online]. [accessed 22nd Out 2004]. Avaliable from World Wide Web, http,//www1.folha.uol.com.br/folha/cotidiano/ult95u93704.shtml 7 BBC News A third of Brazilians live on $1 (16/04/2004) [Online]. [accessed on 22nd Out 2004]. Avaliable from World Wide Web, http,//news.bbc.co.uk/1/hi/business/3631601.stm 8 Seplan Investir na Redução das Desigualdades (18/07/2004) [Online].[accessed 22nd Out 2004] Avaliable from Wide Web, http,//www.seplan.ba.gov.br/conteudo.php?ID=324 9 International Service [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, www.Internationalservice.org.uk


A survey made by CEM –study centre of metropolis- showed that in Sao Paulo city the number of people living in slums raised from 1 200 000 to almost 2 000 000 between 1991 and 2000. It was registered 464 slums. It gives the sad reality that about 74 persons per day went to live in slums.10 The problem is not restricting just in Sao Paulo. In Rio de Janeiro, one of the Brazilian post Card that received annually more than 2 million of foreign tourists has 15% of the population living below the poverty line. The average of income in Rocinha Slum -where live 56.336 people according to the Brazilian institute of geography and statistic- the average of incomes is R$140,00 –$ 40.47- monthly, but while in Copabana the average is about R$ 740.00 –$ 261.48-11. In the northeast is possible to find a family that is seen as rich by his neighbourhood with an average income of just R$ 170 -$ 60.07- that is the case of Gilda Correia Nunes, mother of 12. Gilda lives in Poco Redondo -in the state of Sergipe- where illiterate rate reaches 55% of the population, furthermore it is possible to find worse figures in Brazil, Poço Redondo occupies the 5453rd on the rank of poverty, Brazil has 5 507 cities.12Northeast that was the heart of the Brazilian economy reaching to produce 60% of the Brazilian sugar in the 17th is today the poorest region of Brazil, and the afro-descendents that contributed effectively to the Brazilian development - 44.7 % of the Brazilian population13- are the poorest in Brazil. According to the IBGE – Brazilian Institute of Geography and statistic - 64% of the poor and 68% of the indigent people are afro-descendents.14

It is expected an economic growth of 3.5% on 2004 although Brazil had 4.2 % on its GDP, it is not clear that the goal will be achieved. On 2003 was expected the 10

Folha de São Paulo São Paulo ganha uma favela a cada oito dias (12/02/2003) [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, http,//www1.folha.uol.com.br/folha/cotidiano/ult95u68741.shtml 11 Ao Mestre Com Carinho - Relatório revela dados sobre direitos humanos em 2003. [Online]. [accessed 22 Out 2004]. Avaliable from World Wide Web, http,//www.aomestrecomcarinho.com.br/cid/93.htm 12 UNPD (05/03/2004) Em Poço Redondo quem tem R$ 170 é 'rico' [Online].[ accessed 22 Out 2004]. Available from World Wide Web, http,//www.pnud.org.br/pobreza_desigualdade/reportagens_especiais/index.php?id01=105&lay=pde 13

IBGE Instituto Brasileiro de Geografia e Estatistica [Online].[accessed

22 Out 2004].

Avaliable from World Wide Web, http://www.ibge.com.br/home/estatistica/populacao/censo2000/primeiros_resultados_amostra/brasil/pd f/tabela_1_1_1.pdf 14 Folha de São Paulo Negros são 63% dos pobres e 69% dos indigentes do Brasil (13/10/2001) [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, http,//www1.folha.uol.com.br/folha/treinamento/menosiguais/xx1310200102.htm


same prospectus, on the contrary Brazil had a reduction of 0.2 on its GDP. The unemployment record divulgated on 9/10/2004 by Diário de Sao Paulo Newspaper15 announced a new record on the unemployment rate that reaches 20.6% unemployed in this moment shows that would not be an easy mission to have the expected economic growth. The Brazilian economy is vulnerable to external policies. It is seen that the Brazilian situation is argued more than Brazil has habitants, however it is easily possible to assume that Brazil is in a complex situation. Although Brazil became independent in1822- one of the latest independences- from Portugal to sadly become economically dependent, no just from Portugal, but also from another countries. It is seen that the international speculation delays the Brazilian development. Furthermore Brazil has internal problems that above all, make worse scene. Part of the public sector that is overpaid, and corruption aggravate the circumstances. For the Brazilian development it is crucial a strong leader that reduce the benefit in the government. The fact that deputies receives legally, but immorally monthly wages that variety between R$ 60,000 and R$ 90,000 -$ 21,015.76 and $ 31,523.64 respectively- while, one-third of the population lives with less than $1 per day shows that a transformation has to take place in Brazil, and has to come from inside the government. Although the dictatorship that took place between 1964 and 1985 suppressed the freedom of its citizen, Brazil experienced a colossal economic growth. The GDP growth reached 13% in 197316, under the government of General Médici. A dictatorship in this point would cause a gigantic external and impact. A dictatorship would not be a path to the economic stability, however politics has to take authoritarian turn to set up the Brazilian economy.

15

Diário de São Paulo Desemprego volta à taxa recorde de 20,6% pela terceira vez no ano (09/10/2004) [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, http,//www.diariosp.com.br/novopesquisa/noticia.asp?Editoria=29&id=280398 16

Brasil,“Republica Consolidada”[Online].[accessed 22 Out 2004].Avaliable from World Wide Web, http,//www.brasilrepublica.hpg.ig.com.br/medici.htm


Figure I. Distribution of the population per regions

Population

7.62% 28.11% 6.86%

Participation Number of habitants North

42.63%

7.62%

12 963 035

Northeast

28.11%

47 819 334

Southeast

42.63%

72.529 263

South

14.79%

25 161 621

6.86%

11.669 868

Central West

14.79% Figure II. Participation on GNP per region

GNP per region X Population per region

Draft WB

4.60%

13.09%

Population

GNP


6.95% 57.79%

North

7.62%

4.60%

Northeast

28.11%

13.09%

Southeast

42.63%

57.79%

South

14.79%

17.57%

Central West

6.86%

6.95%

17.57% % Source: PIB DE 2000 statistics from IBGE Instituto Brasileiro De Geografia Estatistica (2000) Available at <www.ibge.com.br>

Bibliography, Bakewell, P.(1997) A history of Latin America, empires and sequels 1450-1930. Blackwell Burns, E.B.(1993) A history of Brazil. 3rd edition. Columbia Ferraz, J.C.(1992) Development, Technology and Flexibility , Brazil Faces the industrial divide. New York. London, Routledge Hoogvelt, A. (1982) The Third World in Global Development. London, Macmillan Ray K. and Marfleet, P. (1998) Globalisation and the Third World. London, Routledge Quartin, J. (1971) Dictatorship and armed struggle in Brazil. London, NLB

Skidmore, T.(1997) Modern Latin America 4th ed. OUP

(Sleves shipped to brazil 6) (Negros no brasil (number 12)) IBGE


Home Pages Ao Mestre Com Carinho - Relatório revela dados sobre direitos humanos em 2003. [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, http,//www.aomestrecomcarinho.com.br/cid/93.htm BBC News A third of Brazilians live on $1 (16/04/2004) [Online]. [accessed on 22nd Out 2004]. Avaliable from World Wide Web, http,//news.bbc.co.uk/1/hi/business/3631601.stm Brasil,“Republica Consolidada”[Online].[accessed 22 Out 2004].Avaliable from World Wide Web, http,//www.brasilrepublica.hpg.ig.com.br/medici.htm Diário de São Paulo Desemprego volta à taxa recorde de 20,6% pela terceira vez no ano (09/10/2004) [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, http,//www.diariosp.com.br/novopesquisa/noticia.asp?Editoria=29&id=280398 Folha de São Paulo Negros são 63% dos pobres e 69% dos indigentes do Brasil (13/10/2001) [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, http,//www1.folha.uol.com.br/folha/treinamento/menosiguais/xx1310200102.htm Folha de São Paulo Policiais federais mantêm paralisação em todo o país (30/05/2004)[Online].[accessed 22nd Out 2004]. Avaliable from World Wide Web, http,//www1.folha.uol.com.br/folha/cotidiano/ult95u93704.shtml Folha de São Paulo São Paulo ganha uma favela a cada oito dias (12/02/2003) [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, http,//www1.folha.uol.com.br/folha/cotidiano/ult95u68741.shtml International Service [Online].[accessed 22 Out 2004]. Avaliable from World Wide Web, www.Internationalservice.org.uk


Seplan Investir na Redução das Desigualdades (18/07/2004) [Online].[accessed 22nd Out 2004] Avaliable from Wide Web, http,//www.seplan.ba.gov.br/conteudo.php? ID=324 UNPD Human Development Report 2004 [Online].[ accessed 22 Out 2004]. Avaliable from World Wide Web, http,//hdr.undp.org/statistics/data/country_fact_sheets/cty_fs_BRA.html UNPD (05/03/2004) Em Poço Redondo quem tem R$ 170 é 'rico' [Online]. [ accessed 22 Out 2004]. Available from World Wide Web, http,//www.pnud.org.br/pobreza_desigualdade/reportagens_especiais/index.php? id01=105&lay=pde World Bank Avanços sociais no Brasil [on line]. [ Accessed 22nd Out 2004] Available from World Wide Web, http,//www.obancomundial.org/index.php/content/view_artigo/1357.html The World Bank was amongst the Second World War to reconstruct Europe, however at the present time the goal is ‘to develop every country in a way of stable, sustainable and equitable growth. The main objective is to help the poorer people r and the poorer countries.’17 On the other hand it is know that as financial institution its interest is to make profit, not philanthropy. Such fact causes disagreement about its role. The amount of US $505 million approved to Brazil on 24th of august 200418 does seem to be a best way of helping a country that has already a external debt of 213,463 billion.19 The private sector –companies- has the target to make profit, is not how capitalism suppose to work?20

IMF The International monetary fund was created in 1945 ‘to promote international monetary cooperation, exchange stability, and orderly exchange arrangements; to foster economic growth and high levels of employment; and to provide temporary financial assistance to countries to help ease balance of payments adjustment.’21 Brasil has joined the IMF since 1946. Ivan Valente,22 a member of the House of Representatives who argues that Brazil became more dependent in the sense that Brazil is regularly applying for loans from the IMF for to reimburse previous debts that create cycle dependency. 17

www.bancomundial.com.br, version in Portuguese http,//web.worldbank.org/WBSITE/EXTERNAL/NEWS/0,,contentMDK,20246103~menuPK,34466~pagePK,64 003015~piPK,64003012~theSitePK,4607,00.html 19 publicated on http,//cidadebiz.ig.com.br/useg/cidadebiz/artigo/0,,1634192,00.html font Central brazilian bank 18

20

wallmart (uni files) imf http,//www.imf.org/external/about.htm 22 Deputado Ivan Valente Homepage http,//www.ivanvalente.com.br/CANAIS/especiais/FMI/01_PRON_48_Imposioes_FMI_pais_soberano .htm 21


EU violated its commitments to the WTO, it was fond that four times subsidies onto world market sugar was given By EU; the unfair trade is still barrier to Brazilian development.23‘These rulings are a triumph for developing countries and a warning bell for rich countries who consistently flout the rules at the WTO and whose unfair systems are creating misery and poverty for millions’ Busted, World Trade Watchdog Declares EU & US Farm Subsidies Illegal International agency Oxfam has welcomed a ruling at the World Trade Organisation (WTO) states that the majority of the subsidies the EU and US pay their sugar and cotton farmers are illegal.

In two separate cases brought by Brazil and other developing nations, the EU and US have been found guilty of paying subsidies that encourage overproduction and allow the dumping of excess farm produce overseas, which undermines the livelihoods of poor farmers in the third world.

“Developing countries have won the moral battle, the intellectual battle and now the legal battle. This is a signal that the modus operandi of the rich and powerful in the WTO getting away with anything they like will no longer be tolerated.”

The cotton panel found that $3.2 billion in US cotton subsidies and $1.6 billion in export credits (for cotton and other commodities) are against WTO rules. This represents almost all cotton subsidies and close to 50% of all export credits used by the USA in 2002.

The sugar panel found the EU is violating its commitments to the WTO by exporting up to four times more subsidised sugar onto world markets than is allowed.

Bloomer, “The EU and US are proven to be in the wrong. They must now immediately act on the panels' recommendations and take the necessary steps to reform their unfair regimes. If they do not they will undermine an organisation that they created and that they need. The EU and US use the dispute settlement mechanism at the WTO more than any other country. It is not only morally right that they implement these rulings but it is also in their own interests.”

In each case, the parties will have the opportunity to appeal the rulings before the deadline for implementation next year. Oxfam is urging the countries not to appeal the rulings but to implement them quickly and in good faith.

Oxfam has documented the effects of rich country agricultural subsidies as part of its Make Trade Fair campaign. Oxfam estimates that US cotton dumping cost Africa more than $300m between 2001 and 2002, while Mozambique, Malawi and Ethiopia have lost $238m since 2001 as a result of restricted access to Europe's markets for their sugar.

ajudar cada país em desenvolvimento numa trilha de crescimento estável, sustentável e equitativo. O objetivo principal é ajudar as pessoas mais pobres e os países mais pobres Brasília, 24 de agosto de 2004 - A Diretoria Executiva do Banco Mundial aprovou hoje um empréstimo de US$505 milhões ligado às políticas de sustentabilidade ambiental no Brasil. O financiamento apoia o crescimento econômico com desenvolvimento social e a manutenção e melhoria da qualidade ambiental no Brasil. O objetivo é contribuir para um País mais sustentável, ajudando a reduzir a pobreza e a alcançar uma maior qualidade de vida nas áreas rurais e urbanas, além de desenvolver a vantagem comparativa do País em recursos naturais sem degradá-los.

Nas últimas duas décadas, o Brasil fez muito para melhorar a gestão ambiental nos níveis nacional, estadual e local. O empréstimo reconhece os esforços da atual administração para integrar objetivos ambientais com os sociais e econômicos, inclusive mudanças institucionais e de políticas que levam a uma gestão mais efetiva e a melhora das condições econômicas no médio e longo prazo. O empréstimo não requer despesas adicionais por parte do Governo e será usado para as necessidades de financiamento externo do País.

Ao todo, o programa busca ajudar a aumentar a eficiência e eficácia dos Sistema Nacional do Meio Ambiente (SISNAMA) e inserir o tema do meio ambiente e uso sustentável dos recursos naturais transversalmente nas instâncias decisórias do governo, especialmente no planejamento econômico. Sete ministérios subscrevem a Carta de Políticas associada ao financiamento.

O empréstimo aprovado hoje é o primeiro de um programa de três financiamentos em um período de três anos, totalizando até US$1,2 bilhão. Os empréstimos complementam outras operações programáticas que envolvem investimento e desenvolvimento institucional em áreas prioritárias como o gerenciamento ambiental do setor público nos níveis nacional e sub-nacional. Dois empréstimos de assistência técnica apoiarão o desenvolvimento de capacidade para a segunda e terceira fases do programa.

At the end of 2002 Brazil voted in its first left wing President in over 40 years. Luiz Inácio Lula da Silva (Lula) is an ex-metal worker and union representative who after three failed attempts, was successful in winning the presidential election for the Worker’s Party. International service.org Lula The slums – Favelas -are becoming a refuge of poor people who has been affect by the social problems, it is stiemated that

23

said Phil Bloomer, Head of Oxfam International's Make Trade Fair Campaign. Homepage http,//www.maketradefair.com/en/index.php?file=cotton_pr03.htm


The ABRAS – association of Brazilian Supermarkets-had a growth of 2.7% on the last year, moreover the market car experienced a growth of 11%, however 70% of the payment were financed éficit habitacional no Brasil está acima de seis milhões de domicílios. Na cidade de São Paulo, o número de pessoas vivendo em favelas passou de um milhão e duzentos mil, em 1990, para quase dois milhões em 2000. Segundo o Centro de Estudo da Metrópole, a cada oito dias a cidade ganha uma nova favela. De 1991 a 2000, foram erguidas 464 favelas. Em média, isso significa que 74 pessoas se tornaram faveladas por dia.

Esse é o grupo que está na faixa dos 50 dólares per capita, por mês? André Urani – É mais ou menos esse grupo. Isso dá um pouco menos do que dois dólares por dia que é o parâmetro usado pelo Banco Mundial para estabelecer a linha de pobreza. Nós temos mais da metade da população brasileira vivendo com menos de dois dólares por dia. Mas, mais grave do que isso, é o abismo que existe entre os mais pobres e os mais ricos.

http,//www.sebrae.com.br/revistasebrae/05/entrevista.htm ystem of government and is composed of 26 states, which are themselves further divided into municipalities, and a Federal District. The Gross Domestic Product, measured at market prices, was R$ 429.1 billion in the second quarter and R$ 387.7 billion in the first quarter, accumulating R$ 816.8 billion in the semester.

Brasil é um dos 5 países mais desiguais do planeta

A candidatura de José Serra - escolhido para dar continuidade à administração de FHC - não decola. E motivos para isso não faltam. Além das denúncias de corrupção, do desmantelamento do serviço público, do esfarcelamento do Estado, os trabalhadores sofrem com o arrocho salarial, o desemprego e a má distribuição de renda. A Pnad (Pesquisa Nacional por Amostra de Domicílios), do IBGE, mostra que o perfil de distribuição de renda mudou pouco desde o início do governo FHC. O Plano Real trouxe ganhos aos trabalhadores de menores salários, que não tinham acesso aos instrumentos financeiros que permitiam que os mais ricos se defendessem dos efeitos da inflação. Assim, em 1993, os 10% dos ocupados que estavam no topo da pirâmide de salários ficavam com 49% do total de rendimentos. Naquele ano, os 50% mais pobres embolsaram apenas 12,9%. O quadro melhorou em 1995, com a parcela dos 10% mais ricos caindo para 47,1% e a dos 50% mais pobres subindo para 13,4%. A partir de 1996, as melhoras continuaram, mas em magnitudes menores. A última Pnad, feita em 1999, mostrava que os 10% mais ricos ficaram com 45,7% da renda, enquanto os 50% mais pobres embolsaram 14,5% do total. O quadro é ainda menos animador para o caso da parcela mais pobre da população ocupada. Os 10% mais pobres ficavam, em 1993, com 0,7% do total dos rendimentos. Em 1995, um ano após o Plano Real, a participação dos 10% mais pobres subiu, e eles passaram a receber 1% do total. Desde 1995, no entanto, não houve nenhuma alteração e, em 1999, esta parcela da população ocupada continuava recebendo o mesmo 1% que recebia em 1995. O indicador mais utilizado para medir concentração de renda, o índice de Gini, também não mudou muito no período. O índice de Gini varia de 0 a 1. Quanto mais próximo de 1 fica o número apurado, maior a concentração de renda de um país. Um ano antes do Plano Real, em 1993, o Brasil tinha um índice de Gini de 0,603. O indicador caiu, ainda que pouco, em todos os anos desde então, e ficou em 0,576 no ano de 1999.


Mesmo esta modesta melhora, no entanto, não tira o Brasil do clube dos cinco países com o maior concentração de renda do mundo. É uma vergonha que persiste e que precisa acabar.

Artur Bruno Deputado Estadual

http,//www.arturbruno.com.br/atualidades/ceara/texto.asp?id=153 o brasil e quinto masi desigual Suazilândia

Namíbia, Botswana, República Centro-Africana e


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