The Brazilian Crisis and the IMF : A Happy Ending After All

The aim of the research paper is to provide analytical discussion regarding the Brazilian financial collapse during the period 1998-1999. The paper initiates with an introductory paragraph, which apart from providing the reader with the reasons which have led towards selecting Brazil as the focal point of the discussion, foreshadows the main points to be discussed throughout the assignment. The proceeding section aims towards discussing the main causes which led to the Brazilian financial collapse, through diverse theoretical model. This section also incorporates a highly significant subsection dedicated upon explaining the advantages and disadvantages of the diverse exchange rate regimes applied by Brazilian policy makers since the early 1950's. The research paper continues by introducing a paragraph, which depict the reader the signals of the global market which indicated towards the occurrence of the Brazilian crises. Immediately after this, the paper provides a critical discussion regarding the role of the International Monetary Fund in assisting Brazil to recuperate from the crises. The last section of the assignment highlights the impact of the Brazilian recession to multinational companies. A conclusion summing up the main points discussed through the assignment