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PSCI 2102 March 7, 2013.doc

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Political Science
PSCI 2101
Andrea Chandler

March 7, 2013 Last week: • Mexico: Spanish colonialism and authoritarianism and racism • No history of self government • Unstable government post independence (Anti Americanism) • Porfiriato - Modernization under decency and inequality • The Mexican Revolution and liberty - no recession • Cardenas reforms - land return, nationalization of oil • PRI - Corporatism and clientelism • ISI - 1940-1970 • Oil boom of 1970's • Debt Crisis • NAFTA Neoliberalism and end of PRI dominicana Brazil "Brazil is the country of the Future and always will be" • Only Portuguese colony in the Americans • World's greatest river, the Amazon • Tropical does not usually allow for ancient civilizations • Covers 2/3 of South America • Geography ranges from rainforest of the Amazon to the high plateau of the grasslands • Was sugar colony that almost completely depended on slave labour from Africa • Brazil was one of last slave holding countries in the world Colonial Regime • Portuguese rule lasts until 1822 • Economy based on sugar plantations of the Northeast (Bahia, San Salvador) • 1822-1888 Brazil was an Empire under the descendants of Portuguese Royal Family • Last country in the Americas to abolish slavery (1888) • 1850 some 25-30% of the population were slaves • The effects of such a huge slave population and the long period of slavery are felt even today because of the history of inequality • Long lasting effects on Brazilian society Coffee Republic (1889-1930) • Liberal republic proclaimed 1889 • Small minority of population (50,000) enfranchised • Dominated by "colonels" (coroneni) who ruled by patron-client networks • Coffee, mining and cattle ranching generated foreign investment and urbanization in the coastal areas of the southeast • The legacy of slavery lingered on in the northeast, with its widespread poverty, illiteracy and highly unequal land tenure • Brazil becomes a republic but actually the number of people (franchise) was restricted to literate and educated people • Given that so much of the country was slaves and indigenous (neither had the vote) • The franchise was at most, 50,000 people who were allowed to vote • Colonels essentially dominated the republic who were local notables, who were able through patron client relationships to gain the vote and get themselves elected • Some certain degree of modernization and investment at that time with the "coffee" republic • Industry of cattle, ranchers -> brazil was known as "coffee with milk" • Highly unequal both economically and politically Café con leite -Legacy of Slavery • 70% of the population of the Northeast is on-white • The Northeast has 29% of the population but produces only 14% of the GDP • 35% of North easterners are illiterate; only 15% attend primary school • As late as 1930, only 5.7% of the population was eligible to vote • Beginning of import subsidization, origins come from Mexico and Brazil from the impact of the great depression and WWII, World trade collapses, there is no market for exports • There is no one to buy the coffee Vargas and Estado Novo • Great Depression lead to collapse of coffee export economy • Coup under Getullio Vargas ushered in net populism • Vargas establishes new regime of corporatism (new role for organized labour) (Corporatism was actually created by Italian fascists) • ISI economic policy and industrialization known as Estado Novo (New State) Demise of populism • Populist economic policies promote inflation, forex cries • 1964 Military coup, rolls back populist gains • Demobilizes labour, control parliamentary politics • Promotes economic development • A lot patron client relations dominating • Populism runs into trouble in 1950s, part of it has to do with the built in constraints of import substitution and industrialization • Still requires to have some imports • May have to import machines, have to export something • Coffee exports are okay • Mining exports, etc. as long as prices are high enough, can continue • Prices for commodities are not stable • Run out of foreign exchange • Remember the bargain that both owners and workers can be happy as long as the econ
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