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for starters, there is the structural trend of rising primary government expenditure as a share of gdp, which reached 36% in 2014, up from 22% in 1991. this increase reflected a political desire to address the poverty and inequality that had gone unaddressed during previous decades. to support the increase, brazil’s government increased taxes on consumption and promoted progress toward labor-market formalization. nonetheless, public investment, particularly in infrastructure, took a hit. in fact, with the exception of the 2005-2008 period, total investment as a share of gdp has remained below 20% since 1991.

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to reform the distraught soviet union, the democratization of the communist party was promoted through party secretary mikhail gorbachev's policies of “perestroika” and “glasnost.” perestroika refers to the reconstruction of the political and economic system established by the communist party.

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