The economy could shrink by 11%, with the loss of 15 million jobs, predicts UFRJ (Federal University of Rio de Janeiro).
Brazil is on the brink of a major economic crisis, a collapse that could have tragic social consequences, beginning with mass unemployment.
247 - A study by the Federal University of Rio de Janeiro (UFRJ) predicts that the economic crisis could lead to the loss of up to 19% of jobs in the manufacturing industry in 2020.
Around 15 million people could lose their jobs. The study by economists at UFRJ was based on information from 123 products and services, distributed across 67 economic activities.
The loss of nearly 15 million jobs would be a consequence of an unprecedented 11% contraction in Gross Domestic Product (GDP) this year.
Economist Esther Dweck, coordinator of the study, believes that Brazilian exports will contribute little to economic recovery. Investments by households and businesses would also have limited effects.
Families are burdened with debt, while businesses are suffering the effects of the uncertainties generated by the new coronavirus, leading them to hold back on investments.
The situation becomes more complicated when one looks at the public sector, which is experiencing a loss of tax revenue.
Information from the Valor Econômico.