BRIC should be really golden

Comments on Mauricio Mesquita Moreira “Brazil and its Chinese challenges”, 17/03/2011, http://www.eastasiaforum.org/2011/03/17/brazil-and-its-chinese-challenges/

There are holes in the BRIC?

The speed of growth of China's economy and its impact on many markets can be huge and may cause economic and industry dislocations, some short term, some along new emerging international competitiveness and comparative advantages.

However, Brazil may realise that the shares of both its exports to and imports from China have risen significantly, that is a result of China's rapid economic growth and external trade.

One should look at both the positive and negative sides of increased trade - mostly likely the benefits overweigh the negative side.

It is unrealistic to expect that such rapid changes in trade don't have any costs associated with them. Standard trade theories suggests there are political economy implications of trade due to changes in international competitiveness. They also point out gains from trade.

One has to manage changes.