We’re covering today Brazil’s puzzling increase in medium income. The rise of bankruptcies. And Petrobras’ plan for the post-pandemic world.
What is happening to Brazil’s average income?
Economic crisis, high unemployment rates (with even bigger levels of labor underutilization), and an uptick in bankruptcies. All of these factors are likely to indicate a massive fall in workers’ average income. That is what happened during the 2014-2016 crisis. However, as the chart below shows, in 2020 the opposite has been observed. With the coronavirus crisis, workers’ average income has abruptly increased.
How to explain. Economist Daniel Duque, of think tank Fundação...