In an article today about President Lula Da Silva�s landslide (61-39) re-election victory, the Financial Times reports that the �the PT�s [Lula�s Workers Party] anti-liberal rhetoric during the second round has caused consternation among many economists, who see it as a sign that spending cuts, needed to release money for investment and growth, are less likely under a second Lula administration than the first.� This continues a major theme of the Financial Times� pre-election coverage.
Everyone knows that the past 20 years have been an era of
rapid overall economic progress for the vast majority of countries, especially in
the developing world. Tariffs have collapsed and countries have flung open their
borders to international trade and investment. Technology has progressed as never
before, we are told, with revolutions in such cutting-edge industries as
communications, computers, and the Internet spawning and spreading productivity
miracles around the globe. Of course, there are problems: a widening gap between
rich and poor nations; environmental destruction; and, in some countries and
regions, the poor being left behind. But the engine of growth has roared ahead.