The Rise of Brazil

The Marginal Revolution blog recently highlighted an important trend in international affairs that has not received its fair share of attention: the rise of Brazil. While China has garnered the headlines, Brazil has been quietly expanding its economy. In the past 3 years alone over 20 million Brazilians have entered the ranks of the middle class.  According to the article,

"The percentage of middle-class Brazilians has grown from 34% to 46% [since 2005]."

While undoubtedly the nation still has serious problems, especially in the realms of crime and corruption, it is rated “free” by Freedom House. This not only makes it a morally comfortable partner for democratic nations, but it also gives Brazil a possible advantage over China. While China is of course more powerful economically, its authoritarian system has the potential for serious instability. As has been widely noted, the Chinese Communist party has staked its legitimacy on its ability to provide economic growth. If growth slows down, are all bets off? In Brazil’s case the self-correcting nature of democratic institutions will, so long as they work properly, allow it to adjust peacefully to political and economic necessity.