Obviously a reform of the state is necessary in Brazil. Who could
possibly argue against that? But in my view that reform can be many
things.
Cardoso could try to democratize the state or he could reform it so
that it further facilitates the transfer of wealth from the poorest to
the richest members of society, as state "reform" has done in Mexico,
Argentina and, to some extent though at a much slower pace, Brazil.
None of this is to say that parcerias with foreign MNCs and investment
from abroad are unnecessary. It's very complicated, and there's no reason
to hold hard and fast to either a privatization or nationalization
position. I think the key point is that FHC is totally comprimised to
the interests of big banks, latifundiarios, revolting political cliques
(eg Roseane and ACM) and major economic conglomerates that are doing all
they can to impede agrarian reform and make the Brazilian economy more
vulnerable than ever. Do you think making the bolsa happy is also what's
best for most Brazilians?
And what happens when ACM's little banco in Bahia fails? The president
promises to bail it out with federal money (before quickly retreating in
a flip-flop that would make our own Clinton proud).
You think FHC's going to implement an agrarian reform "que transcende a
vontade imediatista de alguns movimentos politicos"? I'd love to see
it. FHC belongs to the big boys, as did Sarney and Collor before him.
Michael