South American spotlight : Brazil and Argentina
While Argentina's economy may be self-destructing, its neighbor and rival Brazil is on the rise. Brazil sees itself as the natural leader of South America -- it borders 10 countries, dominates the Atlantic coastline in the region, has an enormous landmass and population, a rising middle class, and a strong and diversified economy. Brazil's greatest challenge is in developing and connecting its rural interior with the cosmopolitan coast. It has been a long and hard process. But Brazil has been stable enough to make the necessary investments to support its industrial base and avoid falling into a resource-extractive economic pit like many of its South American neighbors. This will become especially important as Brazil prepares to bring its massive pre-salt deepwater offshore oil reserves online. Brazil now has the capacity to reach abroad and promote itself as both a regional leader and major global player – a geopolitical reality that will be put on display when Brazil hosts the next World Cup in 2014.