Thirty years ago, Brazil was the leader of the BRICS, with its economy and per capita GDP far surpassing China's. In 1991, the South American giant's GDP was 157 times, and the per capita GDP is ten times higher. However, time passed, and in 2024, the fortunes of the two countries have undergone a dramatic reversal.
Brazil, the giant of South America, has a land area of 8.51 million square kilometers and abundant natural resources.
At the beginning of the 20th century, Brazil had already established an initial industrial system, with more than 100,000 industrial enterprises. While the world was going through the Great Depression, Brazil's industrial output was growing at an average annual rate of 8%.
After the end of World War II, Brazil seized the international opportunity and established first-class cooperation with the United States, introduced a large number of production resources, and further improved the industrial system.
In 1978, Brazil produced 105 kilograms of steel per capita, far more than China at the time. During this period, Brazil's total GDP jumped to the top in Latin America, and its economic status was unmatched.
Between 1948 and 1979, Brazil's GDP grew at an average annual rate of 72%, created".The Brazilian miracle”。By 1979, Brazil's per capita GDP had reached US$1,901, surpassing that of South Korea at that time.
However, while Brazil is in the first period of economic development, China is in the initial stage of reform and opening up.
In 1991, China's GDP was only $383.4 billion, less than two-thirds of Brazil's; GDP per capita is only $333, less than one-tenth of Brazil's.
Brazil was undoubtedly the leader among developing countries at that time, leading in terms of economic aggregate and per capita level.
But the wheels of history are rolling forward, and the time has come to 2024, and the fortunes of these two countries have undergone a shocking reversal. China, after more than 30 years of developmentIts GDP reached 1789 trillion US dollars, becoming the second largest economy in the world, and the per capita GDP has also reached 1$250,000.
In contrast,Brazil's GDP is only 213 trillion US dollars, with a per capita GDP of about 10,000 US dollars. China has not only surpassed Brazil in terms of total volume, but has also significantly improved its per capita level.
Behind this reversal is the very different development paths of the two countries. Brazil used to rely on its abundant resources, over-reliance on resource exports, and neglect industrialization and infrastructure.
At the same time, a large number of welfare-based policies have been implemented, which has led to restrictions on other rational allocation of fiscal funds and a surge in inflation. At the end of the 80s, Brazil's external debt as a percentage of GDP exceeded 75%, and the economy was under great pressure.
In the face of the external debt crisis, Brazil opted for rapid de-industrialization in the hope of reducing the burden of economic development, only to have its economic foundations severely damaged and fall into the middle-income trap.
In stark contrast to this, it is China. After the reform and opening up, China adhered to the path of industrialization, starting from the foundation and gradually advancing the process of industrialization. Chinese enterprises continue to grow in the struggle and gradually accumulate technical and financial strength.
In the 21st century, China has become the world's largest industrial power with a complete modern industrial system. China not only adheres to the development of the real economy, but also is committed to building a mid-to-high-end industrial chainMade in China"To".Created in China", and then to".Made in ChinaChina's industry is moving to a higher level.
Even against the backdrop of the economic recession caused by the global pandemic, China's economy has maintained a steady recovery momentum.
The development of social welfare and the improvement of people's living standards in Brazil have also made it difficult for its people to maintain sufficient initiative. The Chinese population dividend, coupled with the people's spirit of hard work and entrepreneurship, has provided an important driving force for rapid economic growth.
The difference in the choice of development path between the two countries ultimately led to the lack of economic growth momentum in Brazil, which was overtaken by China.
At present, Brazil has begun to restructure its economy and focus on the development of manufacturing, hoping to reverse the economic recession. Affected by the epidemic in 2021, Brazil's economic growth rate turned negative for a while, but by the end of the year, it had recovered to the pre-epidemic level.
In 2023, Brazil's GDP will reach 213 trillion US dollars, showing that it still has the potential for industrial revitalization. But Brazil still has a long way to go before it can solve its development problem once and for all and get out of the middle-income trap.
It is necessary to improve infrastructure, upgrade the level of manufacturing, and stabilize the development of people's livelihood. This will be a long and arduous process, which will require the right development path and persistent policy implementation.
In the span of 30 years, just one generation, the fate and status of China and Brazil have changed dramatically. China's economic take-off and the choice of its development strategy have provided important references for many developing countries.
China's commitment to developing the real economy and steadily advancing industrialization and urbanization has become a solid foundation for sustained economic growth.
By contrast, Brazil and some other developing countries abandoned industrialization prematurely and relied on resource exports and foreign investment, which ultimately led to economic decline.
China's development path has also provided encouragement and incentives for other developing countries to explore the path of economic development. China adheres to a modest and hard-working mentality, draws lessons from other countries, and is steadily advancing towards the goal of realizing the great rejuvenation of the Chinese nation.
In this decades-long race for economic development, the paths of China and Brazil stand in stark contrast.
Brazil's lesson is that relying solely on resource advantages does not guarantee long-term economic prosperity, while China's experience demonstrates the importance of industrialization and technological innovation.
Brazil's economic prosperity in the second half of the 20th century made it one of the leading developing countries. However, this prosperity was built on resource exports and light industry, lacking deep industrial and technological innovations.
This model of development is fragile as the global economic landscape changes.
Brazil's failure to restructure its economy in a timely manner and to develop a strong domestic market has led to a fragile economy that is vulnerable to fluctuations in international financial markets due to its over-reliance on foreign debt and foreign investment.
On the other hand, since the reform and opening up, China has adhered to the path of independent development, attached importance to industrialization and infrastructure construction, and gradually formed a complete industrial system and a huge domestic market.
China not only focuses on the development of traditional industries, but also vigorously promotes the development of high-tech and service industries, which makes China's economy more diversified and stable.
At the same time, China has also actively participated in international cooperation through the adoption of the ".The Belt and Road InitiativeThe initiative has expanded the international market and increased its influence in the global economy.
In addition, China's population policy has provided important support for economic development.
Although China has the largest population in the world, through effective education and training, China has successfully transformed the demographic dividend and provided sufficient labor force for economic development. The industriousness and innovative spirit of the Chinese people have also become the key factors driving rapid economic growth.
In recent years, Brazil has also begun to realize the importance of industrialization and technological innovation, and has begun to try to change its economic development model.
Brazil** began to promote industrial and technological upgrading, encouraging innovation and entrepreneurship in an attempt to revitalize the domestic market. However, it will take time and sustained effort, and the challenges facing Brazil remain daunting.
The comparison of economic development between China and Brazil not only reflects the different development strategies and choices of the two countries, but also provides valuable experience and lessons for other developing countries.
A country's long-term prosperity requires a solid industrial base, continuous technological innovation, and effective national governance. At the same time, it is also necessary to pay attention to the overall development of society, including education, health care and social welfare, to ensure the sustainability and inclusiveness of economic growth.
Overall, the economic development paths of China and Brazil and their results provide profound insights for the world:Resource abundance is not a permanent advantage, but sustained innovation and adaptable economic strategies are the key to a country's long-term prosperity.
China's success lies not only in its economic strategy and persistence in industrialization, but also in its ability to continue to adapt and lead the changes in the global economy, which is an important lesson for Brazil and other countries.
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