Why Brazil may not grow 2.4% in 2020

Brazil’s trumpeted 2.40% Gross Domestic Product (GDP) growth forecast for 2020 is economically and mathematically unreasonable. A 1.20% is!

“Ministry of the Economy increases to 2.40% GDP growth forecast for 2020” (Author’s own translation)

Every beginning of year comes about packed with great expectations. I suppose it’s all down to a sort of “renewal sentiment” with which mostly Westerners and the superstitious alike are used to start their new years. In Brazil that renewal sentiment has had…