Observations on the Real Plan

Abstract

The article begins with a short description of the Larida's proposal with emphasis to the stage named 'transition' and to the phase referred as 'anchor and price stabilization’. Some speculations are made about the reasons behind the non-implementation of the Larida's proposal during the Brazilian stabilization plans. After questioning the ambiguities behind the term 'fundamentals’, the text closes with an elaboration regarding the difficulties arising while fixing the nominal anchor.