Latin America's biggest economy will overtake France's to become the globe's fifth-largest before 2015, Brazil's finance minister said Tuesday.
Minister Guido Mantega said that while the International Monetary Fund forecasts Brazil will become the fifth-largest economy by 2015, he thinks it will happen earlier.
Minister: Brazil's economy will overtake France
SAO PAULO — Latin America's biggest economy will overtake France's to become the globe's fifth-largest before 2015, Brazil's finance minister said Tuesday.
Minister Guido Mantega said that while the International Monetary Fund forecasts Brazil will become the fifth-largest economy by 2015, he thinks it will happen earlier.
He didn't forecast exactly when that would be, however.
Mantega's remarks came just one day after the London-based consulting group Center for Economics and Business Research reported that Brazil had surpassed Britain this year as the world's sixth-largest economy.
Mantega was quoted by the website of the O Estado de S. Paulo newspaper Tuesday as saying that Brazil's gross domestic product is growing twice as fast as the GDPs of European countries, "so it is inexorable that in the future we will overcome France and, who knows, even Germany if its economy does not perform well."
Brazil's GDP is expected to grow 3 percent in 2011 and 3.5 percent in 2012, according to the nation's central bank. Between 2003 and 2010, Brazil's economy saw average growth of 4 percent.
Mantega said Brazil's growth is due to strong job creation and a stable inflation rate.
"Brazil's economy will continue growing more than the GDPs of European countries, which will remain in slow motion," Mantega said Monday in a statement released on the ministry's website.
He cautioned, however, that the Brazilian government should not rest on its laurels, noting that even though its economy may become more powerful than those of European nations, "it will take 20 to 30 years before Brazilians enjoy a European standard of living."
Investing in social programs and continuing to target the eradication of poverty must remain among the Brazilian government's top goals, Mantega said. To do that, the nation's economy must continue growing at a rapid clip, so that a wide array of those programs can maintain funding.
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Associated Press writer Marco Sibaja in Brasilia, Brazil, contributed to this report.
re: Brazil's economy will overtake Franceen>frfr>en By WilyB Comments: 27869, member since Sat Apr 26, 2003
On Tue Dec 27, 2011 11:00 PM
FrogFryer wrote:
Minister: Brazil's economy will overtake France
Well, Frog boy, you have to make a decision: either your chinks buddy keep on dominating the world, and then yes, the Brazilian economy, whose main business is selling fucking raw materials, might "overtake" blah blah blah, or as you have been claiming here for a year or so, the chinks' economy sputters to a halt and the fucking little carnival dancers go belly up too.
re: Brazil's economy will overtake Franceen>frfr>en By FrogFryer Comments: 36169, member since Wed Apr 16, 2003
On Tue Dec 27, 2011 11:36 PM
WilyB wrote:
FrogFryer wrote:
Minister: Brazil's economy will overtake France
Well, Frog boy, you have to make a decision: either your chinks buddy keep on dominating the world, and then yes, the Brazilian economy, whose main business is selling fucking raw materials, might "overtake" blah blah blah, or as you have been claiming here for a year or so, the chinks' economy sputters to a halt and the fucking little carnival dancers go belly up too.
So which one is it boy?
wot
no
ive been saying that for more than a year and give it time man give it time
will the brazilians go belly up when china implodes ?
MEHhhhh
Brazil is a lil different then say asstralia who's also quite dependent on china
even with Brazil's big super glut ships ,the ex/im is about 20% 20% for both sides .
And South America has been really good. why do ya think i chose Peru for those guys a few years ago ?
the numbers ,the yardage , and what percentage of where shit lands from the cutters to the stores dont fucking lie.
re: Brazil's economy will overtake Franceen>frfr>en By FrogFryer Comments: 36169, member since Wed Apr 16, 2003
On Tue Dec 27, 2011 11:53 PM
and heres a bed time story i didnt post earlier with a cato spin on it
the proud members of the multipoloar world didnt like it very much a few weeks ago
they got angwy and upset
also id like to add
the britsh pound LOL
schmuck !
nighty night
DECEMBER 28, 2011
The Federal Reserve's Covert Bailout of Europe
When is a loan between central banks not a loan? When it is a dollars-for-euros currency swap.
By GERALD P. O'DRISCOLL JR.
America's central bank, the Federal Reserve, is engaged in a bailout of European banks. Surprisingly, its operation is largely unnoticed here.
The Fed is using what is termed a "temporary U.S. dollar liquidity swap arrangement" with the European Central Bank (ECB). There are similar arrangements with the central banks of Canada, England, Switzerland and Japan. Simply put, the Fed trades or "swaps" dollars for euros. The Fed is compensated by payment of an interest rate (currently 50 basis points, or one-half of 1%) above the overnight index swap rate. The ECB, which guarantees to return the dollars at an exchange rate fixed at the time the original swap is made, then lends the dollars to European banks of its choosing.
Why are the Fed and the ECB doing this? The Fed could, after all, lend directly to U.S. branches of foreign banks. It did a great deal of lending to foreign banks under various special credit facilities in the aftermath of Lehman's collapse in the fall of 2008. Or, the ECB could lend euros to banks and they could purchase dollars in foreign-exchange markets. The world is, after all, awash in dollars.
The two central banks are engaging in this roundabout procedure because each needs a fig leaf. The Fed was embarrassed by the revelations of its prior largess with foreign banks. It does not want the debt of foreign banks on its books. A currency swap with the ECB is not technically a loan.
The ECB is entangled in an even bigger legal and political mess. What the heads of many European governments want is for the ECB to bail them out. The central bank and some European governments say that it cannot constitutionally do that. The ECB would also prefer not to create boatloads of new euros, since it wants to keep its reputation as an inflation-fighter intact. To mitigate its euro lending, it borrows dollars to lend them to its banks. That keeps the supply of new euros down. This lending replaces dollar funding from U.S. banks and money-market institutions that are curtailing their lending to European banks—which need the dollars to finance trade, among other activities. Meanwhile, European governments pressure the banks to purchase still more sovereign debt.
The Fed's support is in addition to the ECB's €489 billion ($638 billion) low-interest loans to 523 euro-zone banks last week. And if 2008 is any guide, the dollar swaps will again balloon to supplement the ECB's euro lending.
This Byzantine financial arrangement could hardly be better designed to confuse observers, and it has largely succeeded on this side of the Atlantic, where press coverage has been light. Reporting in Europe is on the mark. On Dec. 21 the Frankfurter Allgemeine Zeitung noted on its website that European banks took three-month credits worth $33 billion, which was financed by a swap between the ECB and the Fed. When it first came out in 2009 that the Greek government was much more heavily indebted than previously known, currency swaps reportedly arranged by Goldman Sachs were one subterfuge employed to hide its debts.
The Fed had more than $600 billion of currency swaps on its books in the fall of 2008. Those draws were largely paid down by January 2010. As recently as a few weeks ago, the amount under the swap renewal agreement announced last summer was $2.4 billion. For the week ending Dec. 14, however, the amount jumped to $54 billion. For the week ending Dec. 21, the total went up by a little more than $8 billion. The aforementioned $33 billion three-month loan was not picked up because it was only booked by the ECB on Dec. 22, falling outside the Fed's reporting week. Notably, the Bank of Japan drew almost $5 billion in the most recent week. Could a bailout of Japanese banks be afoot? (All data come from the Federal Reserve Board H.4.1. release, the New York Fed's Swap Operations report, and the ECB website.)
No matter the legalistic interpretation, the Fed is, working through the ECB, bailing out European banks and, indirectly, spendthrift European governments. It is difficult to count the number of things wrong with this arrangement.
First, the Fed has no authority for a bailout of Europe. My source for that judgment? Fed Chairman Ben Bernanke met with Republican senators on Dec. 14 to brief them on the European situation. After the meeting, Sen. Lindsey Graham told reporters that Mr. Bernanke himself said the Fed did not have "the intention or the authority" to bail out Europe. The week Mr. Bernanke promised no bailout, however, the size of the swap lines to the ECB ballooned by around $52 billion.
Second, these Federal Reserve swap arrangements foster the moral hazards and distortions that government credit allocation entails. Allowing the ECB to do the initial credit allocation—to favored banks and then, some hope, through further lending to spendthrift EU governments—does not make the problem better.
Third, the nontransparency of the swap arrangements is troublesome in a democracy. To his credit, Mr. Bernanke has promised more openness and better communication of the Fed's monetary policy goals. The swap arrangements are at odds with his promise. It is time for the Fed chairman to provide an honest accounting to Congress of what is going on.
Mr. O'Driscoll, a senior fellow at the Cato Institute, was vice president at the Federal Reserve Bank of Dallas and later at Citigroup.
I need to get measured for a new tux early in the morning for saturday night
Only a retard would get measured a Wednesday for a suit he wants to wear on a Saturday.
Tailor made or off the rack, you still need a second visit for alterations to make the suit fit nicely.
Alterations Thursday, delivery Friday?
The guy has only had one day to do the basic assembly. And you don't have a margin if he's off on Saturday, or if anything goes wrong.
Poor Fryer tries to brag about a mere suit and ends up with egg on his face for being a poor planner. LOL.
--
JeanV,
Not to reflect badly on your tailor, I have never had to have alterations done twice. It's a one stop measurement then pickup ready to go. Maybe they do things differently here in the US, versus Burkinfaso.
re: Brazil's economy will overtake Franceen>frfr>en By FrogFryer Comments: 36169, member since Wed Apr 16, 2003
On Wed Dec 28, 2011 06:42 PM
Edited by FrogFryer (63085) on 2011-12-28 18:48:40
NikosAliagas wrote:
Brazil’s GDP will be inflated for 5 years by the 2014 World Cup and the 2016 Games.
But, then again, so will France with Euro 2016.
It will be interesting to see if the Brazilians translate all this into long-term productive infrastructure and better living standards.
See what happened to my country, Greece...
we'll see
in the long run they have a better shot then the other three of the BRIC at an expanding sustainable working middle class. & always remember china had a real jump on everyone
where china is stuck at now does bode well for the future
Brazil
low public debt , surpluses, a saner market oriented banking system .
lots of profit taking and foreign money leaving these last few months BUT it hasn't been to bad
