11/08/2022 — McGill Business Review

Lula’s win in the Brazilian Presidential election

On the 30th of October, Luiz Inácio Lula da Silva was re-elected as the President of Brazil after beating the right-wing populist Jair Bolsonaro. Lula won 50.9% to Bolsonaro’s 49.1%, a margin of 2 million votes.

Lula’s leftist Worker Party (PT) previously served Brazil from 2003 to 2006 and 2007 to 2011, where he led the country through a commodities boom that helped fund huge social welfare programs and lifted millions out of poverty. The Workers Party (PT) has a track record of enacting legislation to promote consumers, higher education, and low-income homebuilders.

Since Lula’s re-election shares of state-controlled corporations, including oil giant Petrobras, which plummeted almost 9%, were affected by concerns over more interventionist policies and a lack of support for privatization.

Ukraine Receives Air Defense Systems

Since their invasion, Russia has bombarded Ukrainian cities with air strikes. On November 7th, Ukraine received Nasams and Aspide air defence systems, from the United States and Spain, respectively. Western nations have refused to enforce a no-fly-zone over the country, out of escalation fears, but the introduction of these new systems significantly bolsters the country’s defence efforts as Russia increases air strikes to compensate for losses on the ground.

The deliveries come after President Zelensky urged G7 nations to provide greater support, as Russian forces bombard civilian infrastructure. These systems will help ensure some preservation of this critical infrastructure, as the country heads towards the winter months, with 4.5 million Ukrainians already without power.

U.S. Midterm Election

On November 8, American citizens will decide the composition of their nation’s government. Control of the House of Representatives and Senate is highly contested between the Democratic and Republican parties with 435 seats available in the House and 35 out of 100 seats available in the Senate. Along with these candidates, there are a slew of governorships, secretary of state positions, and attorney positions available. Among those 98 Republicans running for governor, secretary of state, and senate seats, 53 are 2020 election deniers.

Candidates’ platforms have centred around inflation and abortion access, as many Americans struggle to cope with rising costs of living and others are still outraged over the Supreme Court’s reversal of Roe v. Wade. Republicans are favoured to win control of the House, while control of the Senate remains uncertain. Republicans need a net 5 seats to win the House but are expected to gain as many as 30. Georgia, Pennsylvania, and Nevada are critical in deciding who takes the Senate. Traditionally, the president’s party loses seats come midterm elections, but final results may not be known on the 8th, as absentee ballots must be counted.

COP27 Summit - Loss & Damage Officially Joining the Discussion

Although temporarily shelved by the COVID pandemic and Russian-Ukrainian war, climate action is no longer in the backseat of international diplomacy and decision-making. World leaders from Africa, Europe, North America, and the Middle East are meeting this week at Egypt’s COP27 climate summit to discuss the lack of global progress on combatting greenhouse gas emissions.

According to UN Secretary-General Antonio Guterres, “humanity has a choice: cooperate or perish.”

At this point, countries’ current pledges on carbon emissions are insufficient to counteract climate change, and scientists predict disastrous consequences that will disproportionately bear upon developing nations.

A rare moment, Western nations are open to discussing the possible reparations for the consequences of their historically unsustainable actions. African leaders on Tuesday emphasized and were endorsed by other nations on their concerns about the affordability of adapting their institutions to climate change. Scotland committed $2.2 million USD in reparations during last year’s UN climate summit. However, not all countries are in agreement. Worried about their sizeable accountability and subsequently expensive reparations, some states are hesitant to contribute.

Given the urgency of climate change, we can only hope that Western states realize their responsibility in emission contributions and the effects it will have on the Global South. Their economic assistance might be vital for some states’ transition to a more sustainable future. Read more on takeaways from the COP27 summit in Aidan Hurnanen’s upcoming article, published later this month.