What should be done about the exchange rate?

Resumo

Former finance minister Antonio Delfim Netto believes adjusting the public accounts is the way for Brazil to equalize domestic and external interest rates and thus reduce the appreciation of the real against the dollar. Economist Raul Velloso, an expert in public finance, thinks that capital inflows are likely to continue coming through several doors and the country must learn to live with an appreciated real. They expand on their views in conversations with Liliana Lavoratti.