A fundamental shift in Brazilian monetary policy has occurred since President Dilma Rousseff took office in January 2011. As crisis continues to brew in Europe, the administration has made clear that it does not want to repeat the moderate recession of 2009 or want the economy to grow by less than 3 per cent in 2012. In addition to its continued reduction of the benchmark SELIC interest rate, the government has taken other actions to help maintain economic growth, including partly...
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