This article aims to demonstrate the need for the Brazilian people to reject, in the next elections, all candidates for the Presidency of the Republic, the State governments and the state and national parliament who seek to maintain the neoliberal economic model that, since 1990, has been compromising the economic and social development of the country, given that he is the main responsible for leading Brazil to economic bankruptcy and social devastation today. Neoliberal economic globalization began in the 1990s when the neoliberal economic model was imposed on the world and largely benefited big capital, imposed restrictive limits on the action of the national state, sacrificed local production in favor of imported products, privatized assets of the public sector that were sold at degrading prices and decimated labor rights. In Brazil, the neoliberal economic model was adopted as an alternative to the national developmentalist economic model inaugurated with the 1930 Revolution by the Getúlio Vargas government, which came to a melancholy end in the Ernesto Geisel government in 1979 with the bankruptcy of the Brazilian State and the stagnation of the Brazilian economy in the 1980s. The neoliberal economic model implemented in the 1990s further worsened Brazil's economic and social outlook by contributing to the weakening of the state's role in the economy and providing greater opening of the national market to foreign capital. The events that took place from 1930 to the present show that the national developmentalist model failed in Brazil because its development process was not sustainable, but the neoliberalism that replaced it failed even more by dismantling the Brazilian economy from 1990 to the present, making it extremely dependent on foreigners capital and contribute to producing the greatest social devastation ever recorded in the country.

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THE MODEL OF ECONOMIC AND SOCIAL DEVELOPMENT BRAZIL
NEEDS
Fernando Alcoforado*
This article aims to demonstrate the need for the Brazilian people to reject, in the next
elections, all candidates for the Presidency of the Republic, the State governments and
the state and national parliament who seek to maintain the neoliberal economic model
that, since 1990, has been compromising the economic and social development of the
country, given that he is the main responsible for leading Brazil to economic bankruptcy
and social devastation today. Neoliberal economic globalization began in the 1990s when
the neoliberal economic model was imposed on the world and largely benefited big
capital, imposed restrictive limits on the action of the national state, sacrificed local
production in favor of imported products, privatized assets of the public sector that were
sold at degrading prices and decimated labor rights. In Brazil, the neoliberal economic
model was adopted as an alternative to the national developmentalist economic model
inaugurated with the 1930 Revolution by the Getúlio Vargas government, which came to
a melancholy end in the Ernesto Geisel government in 1979 with the bankruptcy of the
Brazilian State and the stagnation of the Brazilian economy in the 1980s. The neoliberal
economic model implemented in the 1990s further worsened Brazil's economic and social
outlook by contributing to the weakening of the state's role in the economy and providing
greater opening of the national market to foreign capital. The events that took place from
1930 to the present show that the national developmentalist model failed in Brazil because
its development process was not sustainable, but the neoliberalism that replaced it failed
even more by dismantling the Brazilian economy from 1990 to the present, making it
extremely dependent on foreigners capital and contribute to producing the greatest social
devastation ever recorded in the country.
From a social point of view, the insertion of Brazil into neoliberal economic globalization
since 1990 with the adoption of the neoliberal economic model has been devastating
because it has worsened the situation of the socially disadvantaged in the country, that is,
the vast majority of the Brazilian population, such as the unemployed who today total
13.5 million Brazilians, the economically underutilized population that totals 32.9 million
people, workers without a formal contract corresponding to 40% of the labor market, the
poor who earn 35 times less than the rich, the population living in poverty and extreme
poverty that corresponds to 52 million inhabitants of which 13.5 million people are in
extreme poverty. Other socially disinherited people are also the homeless people in
Brazil, which are increasing and there are approximately 221,869 people and those who
do not own homes, of which 79% are concentrated in low-income families. Hunger and
misery are on the rise in Brazil. The narrative that neoliberal economic globalization
would bring global economic and social progress benefiting all countries in the world was
not realized, leaving as a legacy the Great Recession that occurred in the United States in
2008, which gave rise to a prolonged crisis and stagnation of the world economy that
deepened with the pandemic of the new coronavirus.
From an economic point of view, Brazil's insertion into neoliberal economic globalization
from 1990 onwards with the adoption of the neoliberal economic model increased the
country's vulnerabilities during the Fernando Collor, Itamar Franco, Fernando Henrique
Cardoso, Lula da Silva, Dilma Rousseff and Michel Temer administrations, which further
deepened more with the Jair Bolsonaro government, which, upon assuming power in
2019, in addition to posing a threat of dismantling democratic institutions with its neo-
fascist government policy, contributes to the worsening of the population's social

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conditions, jeopardizing the health of the population with its inaction in combating the
new Coronavirus and degrading the country's environment, it is further radicalizing
Brazil's insertion into the neoliberal economic globalization that is leading the Brazilian
economy to bankruptcy. Practice has demonstrated the infeasibility of adopting the
neoliberal economic model in Brazil from 1990 to the present, because the Brazilian
economy has very low GDP growth, growing economic, financial and technological
dependence on foreign countries, and is faced with the stagnation that has been
aggravated by the pandemic of the new coronavirus. The outlook for the year 2022 is one
of stagflation, insolvency of the Union, States and Municipalities, a disproportionate
increase in the federal public debt, generalized bankruptcy of companies and, above all,
an increase in the social disinherited who do not have the assistance of the Brazilian
government.
It is therefore proven that Brazil's insertion into neoliberal economic globalization from
1990 onwards with the adoption of the neoliberal economic model was extremely
negative from an economic point of view. Figure 1 makes it quite clear that Brazil’s
insertion into neoliberal economic globalization from 1990 onwards meant a drop in
decennial GDP growth compared to the rates achieved from 1930 to 1980 during the
Getúlio Vargas, Juscelino Kubitschek and post-1964 military governments, when Brazil
adopted the national developmentalist model and presented decennial GDP growth rates
between 4.4% and 8.6%. However, Brazil presented very low GDP growth rates of less
than 3.7% from 1991 to 2020 with the adoption of the neoliberal economic model.
Figure 1- Decennial growth rates of Brazil's GDP (%)
Source: https://g1.globo.com/economia/noticia/2020/03/05/para-evitar-decada-perdida-pib-tem-de-
crescer-10percent-neste-ano-mostra-estudo.ghtml
The economic development achieved by Brazil during the 1930/1980 period with the
national developmentalist model was sustainable due to the high investment rates that
occurred as shown in Figure 2, unlike the 1990/2019 period, which declined with the
adoption of the neoliberal economic model.

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Figure 2- Investment rate in Brazil (%GDP)
Source: https://blogdoibre.fgv.br/posts/taxa-de-invest
imentos-no-brasil-menor-nivel-dos-ultimos-50-anos
In the period 1930/1980, with the adoption of the economic national developmentalist
model, there were huge investments by the federal government in the expansion of
economic infrastructure (energy, transport and communications) and social infrastructure
(education, health, housing and basic sanitation) and national and foreigners investments
in the expansion of industry, commerce and services. It was these investments that
contributed to the high growth of Brazil's GDP from 1930 to 1980. In the period
1989/2019, with the adoption of the neoliberal economic model, there was a drop in the
investment rate in the Brazilian economy, which fell from 27% of GDP in 1989 to 15.5%
of GDP in 2019, a fact that explains the drop in GDP growth in the same period and Brazil
having been led to economic stagnation and, consequently, to a vertiginous increase in
unemployment, a drop in household consumption and widespread bankruptcy of
companies in the country. In the period 1989/2019, there was also a process of
deindustrialization of the Brazilian economy, as shown in Figure 3.
Figure 3- Industry participation in the formation of Brazil's GDP (%GDP)
Source: https://valoradicionado.wordpress.com/tag/pib/

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The analysis of Figure 3 shows the drop in the participation of industry in the formation
of Brazil's GDP from 1987 to 2019, which fell from 27.3% in 1987 to 11% in 2019, unlike
what happened in the period 1947/1987 when its share in GDP of Brazil evolved from
16.5% in 1947 to 27.3% in 1987. This means that neoliberal economic globalization
contributed to the deindustrialization of Brazil.
It can be concluded, from the above, that the adoption of the neoliberal economic model
by Brazil since 1990 was extremely negative from the social point of view because it was
the main responsible for the social devastation that occurred with the mass unemployment
of the working population, the decimation of its labor rights and the vertiginous increase
in hunger and misery of the majority of the Brazilian population and, also, from the
economic point of view because it meant a setback in GDP growth rates and investment
rates in relation to the 1930/1980 period, as well as represented the dismantling of the
industrialization process that took place during the period 1930/1987, when the national
developmental economic model was adopted during the Getúlio Vargas, Juscelino
Kubitschek and post-1964 military governments. Given the above facts, it is urgent to
abandon the neoliberal economic model imposed in Brazil since 1990. Neoliberalism is
synonymous with suffering for the Brazilian people. The economic and social ills caused
by the neoliberal economic model in Brazil do not justify its continuity.
The Brazilian people need to repel candidates for the Presidency of the Republic, state
governments and state and national parliaments who defend the maintenance of the
neoliberal economic model that contributed to the economic and social disaster in which
the Brazilian nation is debating. Candidates with neoliberal programs must be vehemently
repelled by true Brazilian patriots. The Brazilian people need to elect for the Presidency
of the Republic, for the state governments and for the state and national Parliament the
candidates who defend, as an alternative to the neoliberal economic model, the adoption
of the national developmentalist economic model of selective opening of the Brazilian
economy that would allow with Brazil to assume the paths of its destiny, unlike to the
current neoliberal economic model that makes the country's future dictated by the forces
of market capitalism, all of them committed to international capital.
The adoption of the national developmentalist economic model of the future would have
to avoid the mistakes that led to its failure in the past, such as the belief that the
development of Brazil could be achieved even with the country financially and
technologically dependent from abroad and with a strong presence of foreigner capital in
the domestic market. It is necessary to remember that the national developmental
economic model failed in the 1980s in Brazil because the country's economic growth was
dependent on foreign capital, there was excessive external indebtedness and there was
dependence of 80% on imported oil. It should be remembered that Brazil went bankrupt
in the 1980s because the interest on the foreign debt increased from 8% to 19% per year
and the prices of imported oil tripled. Brazil was unable to honor its financial
commitments, had to resort to IMF financing and bowed to the dictates of international
capital. In order not to repeat the mistakes of the past, the national developmentalist model
of the future will only be successful if the Brazilian government follows the path of
development, breaking with the economic, financial and technological dependence on
foreign countries.
In other words, the national developmentalalist economic model adjusted to the
contemporary era to be adopted in Brazil should consider the adoption of strategies that
contribute to: 1) immediately execute public infrastructure works to reduce
unemployment in the country; 2) tax large fortunes and dividend earnings; 3) lengthen

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the payment of public debt by renegotiating with creditors to reduce debt payment
burdens; 4) raise investment rates in the Brazilian economy with the incentive to increase
public and private savings; 5) admit the presence of foreign investments, preferably in
export-oriented areas, on condition that they generate surpluses in Brazil's external
accounts; 6) maximize Brazilian exports to expand the country's foreign exchange
earnings, generate jobs and leverage the growth of the national economy; 7) adopt
different mechanisms to discipline the inflow and outflow of capital; 8) grant tax
incentives to attract private investment in less developed regions of Brazil; 9) encourage
and reinforce research and development activities; 10) increase investments in the
country's education and health system; 11) develop a basic income program for needy
populations; 12) reduce social inequalities by contemplating the adoption of measures
that contribute to meeting the population's basic needs in terms of food, clothing, housing,
health services and employment, and a better quality of life; and, 13) adopt industrial,
scientific and technological development and foreign trade policy that meets national
interests. This whole set of measures should be put into practice based on the planning of
national economic activity on a rational and democratic basis that ensures the
participation of the Brazilian population, the productive and infrastructure sectors, the
States, the Municipalities, the municipal, state and federal legislative powers and state
and national judiciaries powers in the formulation of development plans for each
municipality, each state and the country as a whole.
* Fernando Alcoforado, 82, awarded the medal of Engineering Merit of the CONFEA / CREA System,
member of the Bahia Academy of Education, engineer and doctor in Territorial Planning and Regional
Development by the University of Barcelona, university professor and consultant in the areas of
strategic planning, business planning, regional planning and planning of energy systems, is author of the
books Globalização (Editora Nobel, São Paulo, 1997), De Collor a FHC- O Brasil e a Nova (Des)ordem
Mundial (Editora Nobel, São Paulo, 1998), Um Projeto para o Brasil (Editora Nobel, São Paulo, 2000), Os
condicionantes do desenvolvimento do Estado da Bahia (Tese de doutorado. Universidade de
Barcelona,http://www.tesisenred.net/handle/10803/1944, 2003), Globalização e Desenvolvimento (Editora
Nobel, São Paulo, 2006), Bahia- Desenvolvimento do Século XVI ao Século XX e Objetivos Estratégicos
na Era Contemporânea (EGBA, Salvador, 2008), The Necessary Conditions of the Economic and Social
Development- The Case of the State of Bahia (VDM Verlag Dr. Müller Aktiengesellschaft & Co. KG,
Saarbrücken, Germany, 2010), Aquecimento Global e Catástrofe Planetária (Viena- Editora e Gráfica,
Santa Cruz do Rio Pardo, São Paulo, 2010), Amazônia Sustentável- Para o progresso do Brasil e combate
ao aquecimento global (Viena- Editora e Gráfica, Santa Cruz do Rio Pardo, São Paulo, 2011), Os Fatores
Condicionantes do Desenvolvimento Econômico e Social (Editora CRV, Curitiba, 2012), Energia no
Mundo e no Brasil- Energia e Mudança Climática Catastrófica no Século XXI (Editora CRV, Curitiba,
2015), As Grandes Revoluções Científicas, Econômicas e Sociais que Mudaram o Mundo (Editora CRV,
Curitiba, 2016), A Invenção de um novo Brasil (Editora CRV, Curitiba, 2017), Esquerda x Direita e a sua
convergência (Associação Baiana de Imprensa, Salvador, 2018), Como inventar o futuro para mudar o
mundo (Editora CRV, Curitiba, 2019) and A humanidade ameaçada e as estratégias para sua sobrevivência
(Editora Dialética, São Paulo, 2021) .