Peru, Argentina, and Brazil: Economic Factors
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1 Peru, Argentina, and Brazil: Economic Factors PERU Grade 6 Economic Overview: Peru's economy reflects its varied geography - an arid coastal region, the Andes further inland, and tropical lands bordering Colombia and Brazil. Important mineral resources are found in the mountainous and coastal areas, and Peru's coastal waters provide excellent fishing grounds. The Peruvian economy has been growing by an average of 6.4% per year since GDP: Defined (The measure of a country s economy; the total value of goods and services produced by workers and capital within the country s borders during a given period) GDP= Gross Domestic Product. GDP for Peru: $305.8 billion (2011 est.); Growth Rate: 6.9% (2011 est.) Labor Force: 15.9 million Labor Force by Occupation: agriculture: 0.7%, industry: 23.8%, services: 75.5% Unemployment Rate: 7.9% (2011 est.) Population Below Poverty Level: 31.3% (2010) 2012, TESCCC 08/01/12 page 1 of 6
2 Grade 6 Exports: $46.27 billion (2011 est.) Exports to: China 18.4%, U.S. 15.3%, Canada 11.5%, Japan 5.6%, Spain 5.4%, Chile 4.8%, South Korea 4.6%, Germany 4.1% (2010 est.) Exports what? Copper, gold, lead, zinc, tin, iron ore, molybdenum, silver; crude petroleum and petroleum products, natural gas; coffee, asparagus and other vegetables, fruit, apparel and textiles, fishmeal, fish, chemicals, fabricated metal products and machinery, alloys Imports: $36.97 billion (2011 est.) Imports from: U.S. 24.7%, China 13.8%, Brazil 6.7%, Chile 6%, Ecuador 4.4%, South Korea 4.1% (2010 est.) Imports what? Petroleum and petroleum products, chemicals, plastics, machinery, vehicles, color TV sets, power shovels, front-end loaders, telephones and telecommunication equipment, iron and steel, wheat, corn, soybean products, paper, cotton, vaccines and medicines Agriculture: asparagus, coffee, cocoa, cotton, sugarcane, rice, potatoes, corn, plantains, grapes, oranges, pineapples, guavas, bananas, apples, lemons, pears, coca, tomatoes, mangoes, barley, medicinal plants, palm oil, marigold, onion, wheat, dry beans; poultry, beef, pork, dairy products; guinea pigs; fish Wholesale: Peru is the top silver producer, number three in copper and sixth in gold. Manufacturing: 22% (manufactured goods are developed based on the agricultural or raw materials of a country) Service Industry: 53% (examples of service industries include restaurants, tourism, banking, etc.) Government and the Economy: Since about 1990, the Peruvian government lessened regulation. Examples include: lower tariffs, less or no price controls, allows for foreign investment (China is making great strides in investments in Peru) 2012, TESCCC 08/01/12 page 2 of 6
3 Argentina Grade 6 Economic Overview: Argentina benefits from rich natural resources, a highly literate population, an export-oriented agricultural sector, and a diversified industrial base. GDP: GDP for Argentina: $725.6 billion (2011 est.) Growth Rate: 8.9% (2011 est.) Labor Force: million Labor Force by Occupation: agriculture: 10%, industry: 30.7%, services: 59.2% Unemployment Rate: 7.2% Population Below Poverty Level: 30% Exports: $83.71 billion (2011 est.) Exports to: Brazil 21.8%, China 7.4%, Chile 5.6%, U.S. 5.5% Exports what? Soybeans and derivatives, petroleum and gas, vehicles, corn, wheat 2012, TESCCC 08/01/12 page 3 of 6
4 Grade 6 Imports: $71.73 billion (2011 est.) Imports from: Brazil 33.2%, U.S. 14.4%, China 12.4%, Germany 4.7% (2011) Imports what? Machinery, motor vehicles, petroleum and natural gas, organic chemicals, plastics Agriculture: sunflower seeds, lemons, soybeans, grapes, corn, tobacco, peanuts, tea, wheat; livestock Manufacturing: 19% of GDP (manufactured goods are developed based on the agricultural or raw materials of a country. Autos, auto parts, farm machinery, pharmaceuticals, etc.) Service Industry: 60% of GDP (examples of service industries include restaurants, tourism, banking, etc.) Government and the Economy: Since 2003, the economic trend has made huge strides and has improved through some government deregulation, lower tariffs, and foreign investors. 2012, TESCCC 08/01/12 page 4 of 6
5 Brazil Grade 6 Economic Overview: Despite slower growth in 2011, Brazil overtook the United Kingdom as the world's seventh largest economy in terms of GDP. Urban unemployment is at the historic low of 4.7% (December 2011), and Brazil's traditionally high level of income equality has declined for each of the last 12 years. Brazil's high interest rates make it an attractive destination for foreign investors. GDP: GDP for Brazil: $2.324 trillion (2011 est.) Growth Rate: 2.7% (2011 est.) Labor Force: million (2011 est.) Labor Force by Occupation: agriculture: 20%; industry: 14%; services: 66% (2003 est.) Unemployment Rate: 6% (2011 est.) Population Below Poverty Level: 26% (2008) Exports: $250.8 billion (2011 est.) Exports to: China 17.3%, US 10.1%, Argentina 8.9%, Netherlands 5.3% (2011) Exports what? Transport equipment, iron ore, soybeans, footwear, coffee, autos 2012, TESCCC 08/01/12 page 5 of 6
6 Grade 6 Imports: $219.6 billion (2011 est.) Imports from: U.S. 15.1%, China 14.5%, Argentina 7.5%, Germany 6.7%, South Korea 4.5% (2011) Imports what? Machinery, electrical and transport equipment, chemical products, oil, automotive parts, electronics Agriculture: coffee, soybeans, wheat, rice, corn, sugarcane, cocoa, citrus; beef Manufacturing: 29% of GDP (televisions, telephones, computer chips) Service Industry: of GDP (examples of service industries include restaurants, tourism, banking, etc.) Government and the Economy: Policies (laws have recently been created to encourage exports, industry and trade) Source: , TESCCC 08/01/12 page 6 of 6
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