The aftermath of World War II and the Great depression in Latin America and Caribbean countries (LAC’s) industrialization was marked by an import-oriented strategy (ISI). However, as the international market recovered, countries in the LAC adopted a process of liberalization, that was accompanied by the robust implementation of an export-oriented industrialization strategy or (EOI). Briefly, we explain the two strategies, Import-oriented industrialization (ISI) and Export-oriented industrialization (EOI) in Latin American and Caribbean countries.
The current Brazilian crisis is not only a result of corruption scandals. Apart from corruption, fiscal and external deteriorating conditions have contributed to the ongoing political instability. Michel Temer, from the center-right Brazilian Democratic Movement Party (PMDB), started to rule after the impeachment of Dilma Rousseff (Workers’ Party – PT). Despite the fact that Temer was found to be involved in several scandals, his government had sufficient power to push for economic reforms. Temer succeeded in passing a constitutional change limiting government primary expenditures.