The Future of the World BRIC Nations
- BRIC or BRICs are terms used in economics to refer to the combination of Brazil, Russia, India, and China.
- The term was first prominently used in a thesis of the Goldman Sachs investment bank.
- These countries encompass over twenty-five percent of the world's land coverage, forty percent of the world's population and hold a combined GDP (PPP) of 15.435 trillion dollars.
- On almost every scale, they would be the largest entity on the global stage.
- These four countries are among the biggest and fastest growing Emerging Markets.
- These countries are not a political alliance, like the European Union, or a formal trading association, but they have the potential to form a powerful economic bloc
Painting BRIC by numbers
Raw material To Manufactured goods INDIA And CHINA
CUSTOM UNION Non member country
- As per the laws of the custom union, if the countries indulge in a custom union they have a free trade area with common external tariffs.
- Here china and India being amongst the biggest producers of goods and services lack in natural resources.
- Brazil and Russia are the 2 countries which have plentyof natural resources like iron ore and oil. But they lack in factors of production.
- Fuller utilization of resources
- Full use of the factors of production
The 3 Flaws
- Highly populous countries must integrate their poor and ill-educated underclass.
- China and Russia have financial systems that lack transparency, while Brazil and India are financially underdeveloped.
- Russia is already facing massive demographic decline and an ageing and sickening population.
BRIC in 2050