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Mohamed A. El-Erian

The Anatomy of Brazil's Financial Meltdown

The government needs to act now to arrest the slide.
A record four reals to the U.S. dollar.

A record four reals to the U.S. dollar.

Photographer: Christophe Simon/AFP/Getty Images

Brazil is experiencing a repeat of the kind of emerging-market financial dislocation that many hoped it had left behind in the 1980s and early 2000s. If unchecked by a circuit breaker, this self-sustaining cycle could gather further momentum, exposing the country to economic shocks that would hit the poor particularly hard and add to the political dysfunction.

QuickTake Brazil's Highs and Lows