In Brazil, the protesters did not took off. They were still 50,000 in the streets of Sao Paulo, Tuesday, June 18 in the evening, to express their anger against the government. Brazilian President, Dilma Rousseff, has played the card of appeasement ensuring "to listen" aspirations of a country in social turmoil, silver medal win s the mobilization of hundreds of thousands of people for almost 10 days. But behind the rhetoric of the Head of State, some are beginning to find long time and regret that the authorities have not yet proposed anything concrete. "The government does not know what to say, there is no plan B," said one protester, interviewed Tuesday on the Globo News. This lack of quick fix is explained in part by the nature of the demands of protesters. The denunciation of higher bus fares and anger against the cost to organize the FIFA World Cup in 2014 highlight the failures of the current economic model Bre sil. Inflationary spiral The recent rise in real 0.20 (0.06 euros) the price of the bus ticket is thus symptomatic of inflation bursting ceilings for several months. "Currently, prices are increasing at a rate greater than 6% per month, which is well beyond the inflation target to 4.5% that had set the government, "said Christine Rifflart specialist economist Latin to French Economic Observatory (OFCE) America, contacted by FRANCE 24. This increase in prices of public transport occurs in a context of generalized increase in the cost of living in Brazil. The price of products as basic as tomatoes has soared 90% in one year. Rents have also skyrocketed in recent years - 120% since 2008 - making ends meet increasingly difficult for millions of Brazilians. "This inflation is mainly due to the increase in wages," said Christine Rifflart. But suddenly, the impoverishment of the people most in need, those who have not seen their wages increase, increases. Will remind the most disadvantaged segment of the population that "Brazil is one of the most unequal countries in the world regarding both income or consumption access to social services, "said Jérémie Gignoux, an economist at the Paris School of Economics, contacted by FRANCE 24. If, for a decade, the government has managed to significantly reduce the rate of poverty in the country, which went from 34% to 22% of the Brazilian population between 2004 and 2009, it is difficult today to get out of the inflationary spiral. The state is indeed stuck between two priorities. The need to fight against inflation marries indeed difficult with the need to revive an economy that has stalled. The growth of the seventh largest economy in the world "was only 0.9% in 2012, mainly due to lower exports," recalls Christine Rifflart. To boost sales of Brazilian products abroad, the government could devalue the real in order to make exports cheaper, but it would have the effect of increasing inflation. Bitter pill for the FIFA World Cup But it is not the poorest who demonstrate in the streets against the cost of living. "The students and the new middle classes also participate in the protest, making it a social movement out of the ordinary," says Christine Rifflart. For these new middle classes, spending on hosting the FIFA World Cup in 2014 go wrong. "They believe that the indecent to spend between 11 and 15 billion [between 8 and 11.2 billion euros, Ed] to organize this sports event while utilities and infrastructure requires large investments, "says the economist. The government thus faces of the middle class who aspire to public service at the height of their new status. "This is the price of growth that has, in recent years, 30 million Brazilians out of extreme poverty to include the middle class," says Stephen Witkowski, president of the management board of the Institute of Latin American Studies, told "Le Figaro". Thus, as noted Rifflart Christine, "the quality of education offered to the greatest number remains very low" and, indeed, the best schools are still largely reserved to those who can pay the entrance fees: the richest. Health care provision is also weak, according to the protesters shouting slogans like "We do not want football but also hospitals." The Brazilian authorities have planned renovation of public services. But these projects take time to materialize. And, obviously, the protesters seem more willing to wait.
BRAZIL: Events: Brazil has hurt his business model
In Brazil, the protesters did not took off. They were still 50,000 in the streets of Sao Paulo, Tuesday, June 18 in the evening, to express their anger against the government. Brazilian President, Dilma Rousseff, has played the card of appeasement ensuring "to listen" aspirations of a country in social turmoil, silver medal win s the mobilization of hundreds of thousands of people for almost 10 days. But behind the rhetoric of the Head of State, some are beginning to find long time and regret that the authorities have not yet proposed anything concrete. "The government does not know what to say, there is no plan B," said one protester, interviewed Tuesday on the Globo News. This lack of quick fix is explained in part by the nature of the demands of protesters. The denunciation of higher bus fares and anger against the cost to organize the FIFA World Cup in 2014 highlight the failures of the current economic model Bre sil. Inflationary spiral The recent rise in real 0.20 (0.06 euros) the price of the bus ticket is thus symptomatic of inflation bursting ceilings for several months. "Currently, prices are increasing at a rate greater than 6% per month, which is well beyond the inflation target to 4.5% that had set the government, "said Christine Rifflart specialist economist Latin to French Economic Observatory (OFCE) America, contacted by FRANCE 24. This increase in prices of public transport occurs in a context of generalized increase in the cost of living in Brazil. The price of products as basic as tomatoes has soared 90% in one year. Rents have also skyrocketed in recent years - 120% since 2008 - making ends meet increasingly difficult for millions of Brazilians. "This inflation is mainly due to the increase in wages," said Christine Rifflart. But suddenly, the impoverishment of the people most in need, those who have not seen their wages increase, increases. Will remind the most disadvantaged segment of the population that "Brazil is one of the most unequal countries in the world regarding both income or consumption access to social services, "said Jérémie Gignoux, an economist at the Paris School of Economics, contacted by FRANCE 24. If, for a decade, the government has managed to significantly reduce the rate of poverty in the country, which went from 34% to 22% of the Brazilian population between 2004 and 2009, it is difficult today to get out of the inflationary spiral. The state is indeed stuck between two priorities. The need to fight against inflation marries indeed difficult with the need to revive an economy that has stalled. The growth of the seventh largest economy in the world "was only 0.9% in 2012, mainly due to lower exports," recalls Christine Rifflart. To boost sales of Brazilian products abroad, the government could devalue the real in order to make exports cheaper, but it would have the effect of increasing inflation. Bitter pill for the FIFA World Cup But it is not the poorest who demonstrate in the streets against the cost of living. "The students and the new middle classes also participate in the protest, making it a social movement out of the ordinary," says Christine Rifflart. For these new middle classes, spending on hosting the FIFA World Cup in 2014 go wrong. "They believe that the indecent to spend between 11 and 15 billion [between 8 and 11.2 billion euros, Ed] to organize this sports event while utilities and infrastructure requires large investments, "says the economist. The government thus faces of the middle class who aspire to public service at the height of their new status. "This is the price of growth that has, in recent years, 30 million Brazilians out of extreme poverty to include the middle class," says Stephen Witkowski, president of the management board of the Institute of Latin American Studies, told "Le Figaro". Thus, as noted Rifflart Christine, "the quality of education offered to the greatest number remains very low" and, indeed, the best schools are still largely reserved to those who can pay the entrance fees: the richest. Health care provision is also weak, according to the protesters shouting slogans like "We do not want football but also hospitals." The Brazilian authorities have planned renovation of public services. But these projects take time to materialize. And, obviously, the protesters seem more willing to wait.