¶ … Brazil's stock market [...] precise economic or political events that contributed to either a significant rise or fall in the Brazilian stock market for the years of 2001 and 2002.
While the events of September 11, 2001 had an effect on global economies as a whole, Brazil's economy in 2001 was already in a downward spiral by September. The Brazilian stock market ended up down 25% by the end of 2001, due mostly to a financial crisis in neighboring Argentina. The two countries' economies were closely tied -- too closely, and Brazil struggled to step away from Argentina's influence, so the value of their money fell, and the government cut spending, which helped aid the stock market's plunge. In addition, an energy shortage in June 2001 caused rationing, which resulted in lower usage and consumer confidence, and the stock market suffered. Experts had expected the market to peak at 20,000 in 2001, but in only reached 18,000, and then headed downward. All of these events combined to crush the market in 2001.
If 2001 was bad for the Brazilian economy, 2002 was even worse. Brazil's currency, the real, plummeted in value 5.5% in one day in July. Brazil's foreign debt was the largest in the world, so the country posed a huge risk to other economies, especially the United States. Since the Brazilian money was devaluating so fast, the stock market understandably also fell. The currency ended up devalued by 35%, and the stock market fell another 17% to end the year a little over 11,000. These two years were two of the worst in Brazil's economic history, but the markets and the economy began to recover in 2003. The largest event contributing to Brazil's stock market crisis was the fiscal crisis and the devaluation of the real, which led to global worries that Brazil would never be able to repay its' global loans. A new president, elected in June 2002 helped turn the economy around by 2003.
References
Edwards, Hugh L. "General Manager's Report 2002." Trinidad & Tobago Stock Exchange. 2002. 1 Oct. 2004.
< http://www.stockex.co.tt/annrpt02/generalmanagers_report.htm
-- . "General Manager's Report 2001." Trinidad & Tobago Stock Exchange. 2001. 1 Oct. 2004.
< http://www.stockex.co.tt/annrpt01/ar2001gmsreview.htm
Small, Gretchen. "Financial Armageddon Is Unfolding in South America." Larouchepub.com. 2, August, 2002. 1 Oct. 2004.
< http://www.larouchepub.com/other/2002/2930ibero_bust.html >
Brazil Hospitality and the 2014 World Cup Brazil is in 2014 expected to host an estimated 50,000 soccer fans from all over the globe. The event is to last for four weeks. The fans are expected to stay in the hotels, eat in restaurants, shop and visit Brazil's many attractions. Hosting an event of this magnitude is a challenge especially for a developing economy like Brazil. However, with careful planning the
Managing All Stakeholders in the Context of a Merger Process Review of the Relevant Literature Types of Mergers Identifying All Stakeholders in a Given Business Strategic Market Factors Driving Merger Activity Selection Process for Merger Candidates Summary, Conclusion, and Recommendations The Challenge of Managing All Stakeholders in the Context of a Merger Process Mergers and acquisitions became central features of organizational life in the last part of the 20th century, particularly as organizations seek to establish and
Companies such as XYZ Widget Corporation are well situated to take advantage of burgeoning markets in developing nations, particularly in Asia and Africa. 2. XYZ can grow its business by expanding its operations to certain developing nations in ways that profit the company as well as the impoverished regions that are involved, particularly when marketing efforts are coordinated with nongovernmental organizations operating in the region. 3. Several constraints and challenges must
The last century has seen an increase in the level of international purchases which has been supported by the developments in transportation and technology. Goods can move faster than before with developments in logistics. The negotiation and forming contracts for purchase with companies and communicate with potential suppliers in distant countries is also easier than in the past with the internet and tools such as video conferencing and emails.
Deforestation Forests are at the major agendas of international climate change, with the strong discussions about the 'avoided deforestation' scheme, which is known as REDD (Reductions of Emissions from Deforestation and Degradation). The goal of such scheme is to generate incentives for developing countries to curtail or reduce deforestation and forest degradation. The principle was agreed on at the 13th Conference of UNFCCC parties held in December 2007 in Bali. Though,
For example, Shu-Acquaye (2007) cites the basic differences in the legal systems in various parts of the world as contributing to the different approaches to corporate governance. Likewise, Shu-Acquaye cites these differences and adds, "The American corporate governance system adheres to the idea of shareholder primacy. Because the United Kingdom, Austria, and Canada share a legal system based on English common law and equity principles, they are similar to
Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.
Get Started Now