Brazil Economy Essay

1. What argon some of the advantages that a strong Brazilian currency does for its population, and what are some of the challenges of having a strong currency recounting to another currency? Global economic forces have served Brazil puff up in recent years. As a leading exporter of raw materials such(prenominal) as Soya and iron ore, the South American nation has benefited from the Chinese-fueled commodities boom. The asymmetry in exchange rates between currencies creates difficulties for international trade and investment, for bloodline planning, and for national economies, with impacts on prices and inflation.2. Explain why the Brazilian government is pertain about its balance of trade with China? They are concerned because more(prenominal) Brazilians are buying in China now which could damage backinges in Brazil. Brazil remains a complicated place to do business for foreign-based companies. Challenges include a highly complex and expensive tax and lug environment, burdenso me bureaucracy, costly credit, lingering corruption and deep social imbalances.3. What does a higher(prenominal)(prenominal) external demand for goods and services in a cl haveish do for the standard of living of its citizens? This would help them have a break away standard of living so that they are able to buy their own homes.1. Explain the role of capitalism in the ampere-second-year growth of Nederlander concerts. Individual assiduity growth differ from each other in m each ways. Indeed, no two are exactly alike. Some industries are dominated by booms. After a short recession, there is a rapid recovery that leads to a prolonged boom. Over a 100-year life of such a cycle, there might be twenty years of recession and stamp followed by eighty years of prosperity accompanied by lesser fluctuations. The Nederlanders have managed to stay in business for over 100 years which shows that being a small business with a well up grounded foundation could be the key to success.2. wher efore is Nederlander able to charge higher prices for small theater performances when audiences could pay less at stadium concerts? Because the place has limited seating but big name entertainment they are able to monopolize off of the consumer by charging higher prices to see a big nameentertainer. As a consumer I would pay the higher prices so that I am able to be in a smaller concert environment in my opinion less large number mean less problems.3. Would you expect the current slump in the U.S frugality to affect Nedelanders ticket sales? Why or Why Not? I dont think it would have any affect on ticket sales, because even though the economy is in a slump we still crave entertainment, and socialization therefore population would find the money to do something that they would enjoy.