1. IntroductionA decade ago, an American's experience in Brazil might have included a visit to a soccer game, a visit to the Christ the Redeemer statue, and many cups of the country's famous coffee. For those who could afford it, it seemed like a desirable vacation destination. Again, with the exchange rate in 2003 at 3.5 reais to the dollar, this was a vacation only for those who could afford it. One might assume that this high exchange rate translates into a high standard of living and a high value of money for Brazilian citizens. As my article states, this is not the case. The current exchange rate is not as high as it was in 2003: it is currently 2.3 reais to the dollar. In real terms, this is barely half the 2003 rate, due to high inflation in Brazil. However, Brazil's economy is struggling. The article states that visitors to Brazil in recent years have learned about what locals call “custo Brasil” – the cost of Brazil. This term is representative of the high prices of everyday goods in the country. According to my article, for example, cars cost “at least 50% more than in most other countries.” The Economist uses a tool called the “Big Mac Index” to compare currencies around the world. According to the Big Mac Index, a hamburger in Brazil costs more than in countries with richer citizens, such as Norway, Sweden and Switzerland. Food should be cheaper for citizens of a country that has the same poverty as Brazil, but unfortunately this is not the case. Furthermore, my article states that Brazilian citizens' wages are nowhere near what they should be, despite a high minimum. salary. “In countries where citizens earn livable wages, their money goes further.” Brazilians have few spending possibilities... middle of paper... ease, as well as the price of land. I know this may seem far-fetched, especially in a country like Brazil, full of slums and poor neighborhoods. It can be difficult to find land worth buying, but investing in land and letting its value increase is better than allowing money to lose its purchasing power.3. Conclusion While the country has some serious problems to address regarding its currency, Brazil has the tools to correct inflation. They have an agricultural sector that, if managed properly, can increase the production of their economy and create jobs for their citizens. More jobs would mean more money, and more money would lead to domestic consumption; citizens could now afford the expensive products sold in Brazil. If improvements are to be made in the Brazilian economy, they will come thanks to the monetary policy tools implemented in the country.