The economy of Brazil is crashing fast. This is drastically impacting its ability to hold anything like a normal Olympics this summer. Virus levels in waters athletes will be competing in are off the charts. Athletes will have to pay if they want air conditioning in their rooms. A major stadium just had electricity turned off due to non-payment. And the government is refusing to pay for any cost overruns.
Olympic athletes are almost certain to come into contact with disease-causing viruses in the water. As AP reported, these viruses in some tests “measured up to 1.7 million times the level of what would be considered hazardous on a Southern California beach.
Athletes will be forced to pay for their own air conditioning and… televisions will not come standard in rooms.
A major supplier of power reportedly backed out of the event last month, suggesting that in addition to unsanitary conditions and no air conditioning, athletes could well run out of energy – literally
The track and field stadium for this year’s games went dark on Monday due to unpaid utility bills.
Brazil is now spiraling down its worst recession since 1901, says Bloomberg, although it really looks more like a depression than a recession. Mismanagement, corruption, and a deadlocked government are the primary causes. Growth is in the minus numbers, “something between a perfect storm and a meltdown.”
In Latin America’s most promising country, income per capita grew 2.7% per year in 2002-2010. In 2011-2013, it slowed to 1.8% per year and in 2014-2015 it will contract 2.4% per year. In 2014-2016 alone, income per capita will contract more than 8%. Our projections (at University of Brasilia) suggest that the income per capita is unlikely to recover to the 2013 level before 2022. So, rather than a recession, Brazil is more likely to be in an economic depression.
Banksters and hedge fund parasites are sure to exploit the Brazil crisis, hoping to gain from its misery.