Vol. 7 No. 2 (1987): Apr-Jun / 1987

Vol. 7 No. 2 (1987)

Apr-Jun / 1987
Published April 1, 1987


Austral Plan
Roberto Frenkel, José Maria Fanelli
Brazilian Journal of Political Economy

This paper analyses the Argentine stabilization plan, known as “Austral Plan”.
We divided this work in three main sections. In the first one, the theoretical propositions,
which, according to us, are important for understanding the measures of the “Austral Plan”;
are reviewed. The second section looks at the more important measures of the plan and the
evolution of argentine economy during the first nine months of the application of the plan,
that is, from the time the plan was implemented until the prices began to rise. In the last
section, we consider some questions the program will have to face in the near future.

JEL Classification: E31; F34; E52.

External debt, development strategy and policy
Aldo Ferrer
Brazilian Journal of Political Economy

A crise da dívida da América Latina pode ser dividida em três fases. Na primeira
fase, 1982-1984, a América Latina tinha déficit comercial e pequeno poder de barganha. A
partir de 1984 a América Latina passou a apresentar grandes superávits comerciais. Isso
significa uma transferência de recursos reais, mas também significa um aumento do poder
de barganha. Se a América Latina suspender o pagamento de parte dos juros, poderá comprar
tudo o que precisa. A terceira fase deve começar agora. Nesta etapa, a América Latina
deve usar esse novo poder de barganha de forma mais eficaz para manter taxas razoáveis
de crescimento econômico.

JEL Classification: E31; F34.

Financial composition of the public deficit
Fernando Maida Dall'Acqua, Luiz Carlos Bresser-Pereira
Brazilian Journal of Political Economy

Starting from this hypothesis this paper criticizes the conventional theory about
the public deficit and presents an alternative model of macroeconomic analysis of the effects
of the public deficit emphasizing its internal composition between interests and real expenditures.

JEL Classification: H62; H68.

The external adjustment strategy of the Second National Development Plan
Jorge Chami Batista
Brazilian Journal of Political Economy

The principal aim of this paper is to discuss the growth-cum-debt strategy set
out in the II NDP and adopted in Brazil between 1974 and 1979, as a way of making the
external adjustment of the economy. It is argued that, despite the mistakes made by the
authorities in Brazil on matters of economic policy and on certain investment decisions, the
strategy set out in the II NDP and pursued over the period between 1974 and 1979 played,
on the whole, a positive role in adjusting Brazil’s external accounts in addition to sustaining
economic growth.

JEL Classification: H63; H54.

Expectations, uncertainty, and instability in capitalism: an approach from Keynes
Rogério Pereira de Andrade
Brazilian Journal of Political Economy

This paper deals with some crucial aspects found in Keynes theoretical contribution.
We intend to show the importance of time, expectations, and uncertainty in his
analytical scheme and how he explains the existence of capitalism instability taking into
account these elements as constitutive of the capitalistic system. Furthermore, we make some
philosophical digression on the nature and importance of decisions in a context of time and
uncertainty about the future that necessarily surrounds all human action.

JEL Classification: B22; B31; E12.

The discontinuity of working time in agriculture and the implications for the stability of the capitalist enterprise – an analysis of Marx’s vision
Amilcar Baiardi
Brazilian Journal of Political Economy

Some Brazilian authors that utilize a Marxist approach, have insisted on the
unfeasibility of private capitalist production. The premises of this thesis are: 1) the existent
difference into the agriculture process of production between the labor time and the production
time and 2) the hypothetical lower rate of profit of capitalist agriculture. This article
tries to show that these premises are false once the process of production was changed so
much by the modem agriculture that it has become very similar to the industry.

JEL Classification: B51; Q10.

Fundamentals of State intervention: some conceptions in Keynes and Kalecki
Nelson Carvalheiro
Brazilian Journal of Political Economy

This paper aims to identify the role of the government in the economy as exposed
by the works of Keynes and Kalecki.

JEL Classification: B22; B24.

Notes and Comments

Reforming the IMF
Cheryl Payer
Brazilian Journal of Political Economy

This short note intends to analyze and point out mistakes of some criticism
directed to the IMF.

JEL Classification: F35.


Final Communiqué of the Conference on the External Debt of Democratic Economists and Jurists
... ...
Brazilian Journal of Political Economy

This is the final press release of the International Conference about the External
Debt of developing countries held in São Paulo, in 1986, organized by ABJD, the CEBRAP
and the AIJD.

JEL Classification: F34; H63.

The crisis of the Cruzado Plan
Dilson Funaro, Affonso Celso Pastore, Mário Henrique Simonsen, Francisco de Oliveira, Luiz Carlos Bresser-Pereira, Eliana Cardoso
Brazilian Journal of Political Economy

By the end of 1986 the Cruzado Plan collapsed. This is a collection of pieces
published by the newspaper Folha de São Paulo about the crisis and fallout of the stabilization

JEL Classification: E31; E52.