Economic Comparison between Brazil and Argentina (Economic Development Term Paper

Economic Comparison betwixt brazil-nut tree and genus Argentina (Economic Development And Growth) - Term Paper ExampleIntroduction Population and economic size of it brazil became independent on September 7, 1822. It covers 8,511,965 sq. km with a population size of 203.4 million1. Its population branch appreciate is 1.02 percent per annum. Brazil is the leading economic powerhouse and regional leader in siemens America. It is the eight world largest economy in the world. However, the clownish is bedeviled by high unequal income distribution and crime. Brazil continues to pursue industrial and agricultural produce and dilatement strategy. The country has a well developed service, manufacturing, farming and mining sectors. The Brazilian economy experienced solid economic performance even in the lawsuit of global financial crisis. The economy recovered early as compared to other countries. It was during Lulas reign when the country experienced high economic growth and impro ved social programs that improved lives of millions of Brazilian citizens. Domestic breathing in is the key driver of the countrys economic growth. However, the country experiences rising unemployment rate. Sound fiscal management, lump control and floating exchange rate provided strong impetus for Brazilian economy to grow and develop over the years. The currency of Brazil is Brazilian reais. On the other hand, Argentina became independent on July 9, 1816. Its champaign coverage is 2.8 million sq. km with a population of 41,769, 7262. Its population growth rate is 1.017 percent annually. Argentinas economy has experienced both good and bad times3. The country has suffered hyperinflation, currency depreciation, domestic debt neglectfulness worth $85 billion, World Banks loan default and frozen banking system among others. This is because of woeful governance by government officials. Between 1975 and 1990, Argentina paid interest on foreign debt. Furthermore, during the aforeme ntioned(prenominal) period, the country experienced capital flights and tax evasion. In 2002, unemployment was 25 percent. The government also started repaying defaulted bonds worth $century billion in an attempt to end shame from 2003. The Argentinas economy grew at the rate of 9 percent annually from 2003 to 2007 following expansionary policies adopted by the government. The growth was negatively affected by global credit crunch between 2007 and 2009, which reduced growth rate to 0.8 percent. However, the economy rebounded and 8.5 percent growth in GDP was experienced in 2010. The Argentine currency is Argentina pesos. In fact, Brazilian geographic area, population, and economy is larger than that of Argentina. Argentinas economy is less stable and volatile as compared to that of Brazil due to many past economic hardships. In 2008-2010 global financial turmoil, Argentina experienced wasted domestic growth as well as reduced domestic and global demand, which caused a cracked reces sion in 2009. In 2008, many more people in Argentina are poorer than those in Brazil. In 2008, the population below poverty line in Brazil was 26 percent slice there are 30 percent in Argentina. Section one outlines each countrys natural resource deposits section two indicates Gross Domestic Product section three indicates unemployment rates section four shows the budget section five shows the inflation and section six shows foreign compute investment. In addition, section seven indicates international trade section eight outlines exchange rate government activity section