{"id":71132,"date":"2016-03-28T12:00:02","date_gmt":"2016-03-28T11:00:02","guid":{"rendered":"https:\/\/www.transcend.org\/tms\/?p=71132"},"modified":"2016-03-28T03:02:08","modified_gmt":"2016-03-28T02:02:08","slug":"brazils-presidential-crisis-whats-happening-and-why-you-should-care","status":"publish","type":"post","link":"https:\/\/www.transcend.org\/tms\/2016\/03\/brazils-presidential-crisis-whats-happening-and-why-you-should-care\/","title":{"rendered":"Brazil\u2019s Presidential Crisis: What’s Happening and Why You Should Care"},"content":{"rendered":"
\"Brazil\u2019s<\/a>

Brazil\u2019s President Dilma Rousseff walks after a visit to ground infrastructure works for the 2016 Olympic Games, in Brasilia, Brazil.
CREDIT: AP Photo\/Eraldo Peres<\/p><\/div>\n

25 Mar 2016 – <\/em>While scrolling through your Facebook feed or preferred news app of choice this week, you\u2019ve probably seen headlines calling attention to Brazil\u2019s embattled president, Dilma Rousseff. The political crisis, which has been worsening for nearly a year, will have lasting political and economic ramifications for the world\u2019s sixth-largest nation, and it should be a cause for much greater international concern.<\/p>\n

If you\u2019re interested in Brazil\u2019s presidential fiasco, but are still a bit unsure about what exactly is going on, we have you covered.<\/p>\n

Here\u2019s a quick breakdown of Brazil\u2019s presidential fiasco, so that you can be better informed about this emerging Latin American political crisis:<\/p>\n

What\u2019s happening?<\/strong><\/p>\n

This week, Dilma Rousseff is facing renewed calls from Brazilians and international observers to resign from office. About 68 percent of her constituents want her impeached<\/a>. But despite these calls for resignation, Rousseff has doubled down on her commitment to stay in power, saying she \u201cwill never resign\u201d<\/a> from her office.<\/p>\n

Rousseff\u2019s presidential troubles began in early 2015, when allegations surfaced that Rousseff had participated in political graft and bribery while she was on the board of the Brazilian state-supported energy company, Petrobras. A year earlier, federal officials began investigating Petrobras and Workers\u2019 Party officials for suspected corruption in the Petrobras contracting process. What investigators found is perhaps the largest money laundering and political corruption scandal in recent history.<\/p>\n

Over the last decade, contractors, oil executives, and government officials allegedly conspired to award massively inflated and lucrative contracts to construction companies working for Petrobras. The contractors who were awarded these lucrative bids allegedly lined the pockets of the same Petrobras executives who helped them out. Because Petrobras is owned by the Brazilian government, the corruption eventually managed to flow all the way up to the highest levels of the political establishment. On March 16, 2015, prosecutors began their pursuit of justice by charging 27 people in connection to the scandal, most of whom were high-ranking political leaders of Rousseff\u2019s Workers\u2019 Party. In total, 86 people have been convicted so far, most of them well-connected political figures and businessmen.<\/p>\n

When news broke of Rousseff\u2019s potential involvement as a member of the Petrobras board, the Brazilian populace erupted in protest. Throughout 2015, several protests against Rousseff\u2019s government drew thousands, even millions in some instances, to the streets. These massive demonstrations have continued into 2016<\/a>, and Rousseff\u2019s approval ratings<\/a> are plummeting.<\/p>\n

\"brasil<\/a><\/p>\n

Last Thursday [17 Mar], Rousseff created more waves by naming former Brazilian president Luiz In\u00e1cio Lula da Silva as her Chief of Staff. Commonly referred to as \u201cLula,\u201d the former president, now 70, is being investigated for his role in the Petrobras scandal, and many believe Rousseff\u2019s move is to protect him from legal actions, since the position comes with some legal protections. A judge moved to block this appointment<\/a>, but his future is being tossed around in the nation\u2019s highest courts<\/a>.<\/p>\n

Meanwhile, Rousseff has also presided over one of the worst recessions in Brazil\u2019s history. Economists estimated that Brazil\u2019s economy shrunk by 3.8% last year<\/a>, and forecasts for this year are equally as depressing.<\/p>\n

Who are the key players?<\/strong><\/p>\n

Dilma Rousseff<\/strong><\/p>\n

Dilma Rousseff is the current president of Brazil, serving since January 1, 2011. In her earlier years, she was involved in several left-wing guerilla organizations resisting the Brazilian military dictatorship, and was eventually captured, imprisoned, and allegedly tortured. After her release in 1972, Rousseff and her partner, Carlos Ara\u00fajo, were instrumental in founding the Democratic Labor Party (PDT). Rousseff held a number of government positions as a member of the PDT before joining the Workers\u2019 Party in 2000, after a significant dispute with PDT leaders. In 2005, she was named Chief of Staff to then-president Luiz In\u00e1cio Lula da Silva, and was subsequently elected president herself in 2010. In 2014, Rousseff stood for re-election and received 51% of the popular vote, in one of the closest elections in modern Brazilian history.<\/p>\n

\"Soldiers<\/a>

Soldiers stand guard outside Planalto presidential palace where protesters have projected the word \u201cImpeachment\u201d on the building, as they call for the impeachment of Brazil\u2019s President Dilma Rousseff in Brasilia, Brazil, Monday, March 21, 2016.
CREDIT: AP Photo\/Eraldo Peres<\/p><\/div>\n

Luiz In\u00e1cio Lula da Silva<\/strong><\/p>\n

Luiz In\u00e1cio Lula da Silva, commonly referred to by his nickname \u201cLula,\u201d is Brazil\u2019s former president. A former metalworker and union operative, Lula helped found the Workers\u2019 Party in 1980. After unsuccessfully running for president three times, Lula was elected Brazil\u2019s president on October 27, 2002. He successfully ran for a second four-year term in 2006. On January 1, 2011, he left office and handed over the presidency to his longtime friend and political ally, Dilma Rousseff. Lula was well-known for having been one of the most popular politicians in the world during his tenure as Brazil\u2019s president. When Lula left office in 2011, he had a 90% approval rating, virtually unheard of in democratic societies. Lula, whose home was raided by authorities earlier this month, is now under investigation for his connection to the Petrobras scandal. Many believe that Rousseff\u2019s attempt to appoint him as Chief of Staff is meant to shield him from legal investigations.<\/p>\n

The Workers\u2019 Party<\/strong><\/p>\n

Following its founding in 1980, the Workers\u2019 Party (Partido dos Trabalhadores, in Portuguese) has emerged to become the dominant left-of-center voice in Brazilian politics. Under Luiz In\u00e1cio Lula da Silva and Dilma Rousseff, the party has controlled the Brazilian presidency since 2002. The party has been implicated in several controversies, including the Mensal\u00e3o corruption scandal<\/a> that resulted in the resignation of the party\u2019s president, Jos\u00e9 Geno\u00edno, who is now under house arrest. The Workers\u2019 Party allegedly played a significant role in the Petrobras scandal, but Rousseff will need its support in order to stay in power.<\/p>\n

Petrobras<\/strong><\/p>\n

Petrobras is Brazil\u2019s state-supported energy company. Founded in 1953 by Brazilian president Get\u00falio Vargas, Petrobras was the sole Brazilian oil operation for over 40 years, until a constitutional amendment broke the company\u2019s legal monopoly<\/a> in 1997. Petrobras remains one of the largest oil companies in the world, even after its profits have plummeted in connection with the corruption scandal.<\/p>\n

Why should you care?<\/strong><\/p>\n

Brazil\u2019s economy is the eighth largest in the world, by GDP purchasing power parity. A political crisis in Brazil will no doubt have implications on the nation\u2019s economic confidence, further exacerbating the deeping Brazilian recession that threatens the global economy<\/a>. The Eurasia Group listed Brazil\u2019s political crisis as one of the Top 10 risks facing the globe<\/a> in 2016, citing the long-term international economic implications of a Brazilian governance failure.<\/p>\n

While it\u2019s important to consider how the presidential crisis affect the rest of the world, it\u2019s also imperative to highlight the effects on ordinary Brazilians. In a nation prone to high levels of income inequality<\/a>, sprawling favelas<\/a>, and rising unemployment<\/a>, this massive corruption and political crisis is leaving Brazilians uncertain and disheartened about their economic future. Before the recession, Brazil\u2019s economy had become a regional model for economic growth. Now, some economists are predicting that the current recession will become the worst Brazilian economic event since 1901<\/a>. A New York Times report<\/a> from last August highlighted how the Petrobras scandal made the dream of a prosperous future seem more like an illusion to many Brazilians.<\/p>\n

Additionally, Rio de Janeiro, Brazil\u2019s second largest city, is set to host the 2016 Olympic Games in August. The games were marketed to the International Olympic Committee as a chance to bring the Olympics to South America and showcase Brazil\u2019s advancements<\/a> to the world, but now this message seems tarnished by the political firestorm surrounding Rousseff. Furthermore, some of the Olympic construction projects are believed to have been awarded under questionable circumstances. These allegations are currently being investigated<\/a>. With the Rio Olympics consistently running into problems<\/a>, the lack of a unifying leader will likely leave the nation adrift and unsettled as it heads into the summer.<\/p>\n

Go to Original \u2013 thinkprogress.org<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Brazil\u2019s economy is the eighth largest in the world. A political crisis in Brazil will no doubt have implications on the nation\u2019s economic confidence. The Eurasia Group listed Brazil\u2019s political crisis as one of the Top 10 risks facing the globe in 2016, citing the long-term international economic implications of a Brazilian governance failure.<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[180],"tags":[],"class_list":["post-71132","post","type-post","status-publish","format-standard","hentry","category-brics"],"_links":{"self":[{"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/posts\/71132","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/comments?post=71132"}],"version-history":[{"count":0,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/posts\/71132\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/media?parent=71132"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/categories?post=71132"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.transcend.org\/tms\/wp-json\/wp\/v2\/tags?post=71132"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}