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Global economy supplement: South America’s shift

Bad news for Brazil, good for Mexico

By Ciro Echesortu & Ivan Aftalion  

The year 2015 may prove to be a humbling one for South America. In the next 12 months, there will be elections in Bolivia, Uruguay and Argentina, and many incumbent parties will win re-election—just as in Brazil’s recent election. Politicians are still benefitting from the effects of external economic trends, which in the 10 years leading up to 2013 delivered something of a golden decade for the continent. But that trend is set to change.

Economic growth in Asia during the 2000s and the expansive policies in China and the United States following the financial crisis, led to a unique…

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