Effects of Globalization on Brazil 1163
e increased imports causing job losses, rising inequality and homogenization of tastes which may impact local producers adversely (Held and McGrew, 2007).
There are multiple causes of globalization like improvement in information technology, opening up of trade, creation of multiple trade regulatory bodies and growth of multinational companies to name a few (Woo, 2009).
Brazil, the largest country of South America, was under a military government regime till 1985. Brazil is regarded as a rapidly growing developing country of South America. Brazilian economy is largely dependent on its strong agricultural sector and the industrial sector comprising mining and manufacturing activities (Bengoa and Sanchez-Robles, 2003).
Globalization has a massive impact on the economy of Brazil as a whole. Globalization has increased the stability of the Brazilian economy. Increased stability has enhanced the flow of foreign direct investment in the country and many multinational companies have ventured into Brazil. Foreign trade in Brazil have received huge boost from the year 2000 onwards and many researchers have confirmed this to be plausible source of growth of the economy (Bengoa and Sanchez-Robles, 2003).
The sudden fall in the global demand had affected Brazil adversely and the export sector had been maligned badly. There was a fall in the price of raw materials and sales of exported goods exacerbated the conditions in Brazil. Brazil has been badly bruised by the global financial crisis. The crisis has highlighted the negative aspects of over-dependence (Kaltenbrunner and Painceira, 2009).
Globalization had a positive impact on the healthcare systems of Brazil by raising the commitment of government to prevent environmental degradation. The aim of the government is to reduce emission level by 40% till 2020. Protecting the agricultural sector and environment is an important concern for Brazil in the era of globalization (Alkmim, et al., 2012).
Negative impacts of