If the problem is the overvaluation of the Real and the impending threat o
devaluation then it is interesting to note that all measures taken by the
government tend to work in the direction of overvaluing the Real even
more: lower internal inflation due to more recession and eventually more
dollars pouring, both due to high interest rates. My bet is a devaluation
right after election day. There will be then four years to forget that the
Real is not so stable.
Cipolla