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During the past decade, the potential offered by Brazil's size, resources, and location has begun to be realized. There are, however, a number of international and domestic obstacles to the country's continued development, as indicated by its extreme inflation rate and its foreign indebtedness. There are also serious questions about the social and political results of the Brazilian approach to development: Brazil has become something of a test case for whether the Western, or capitalist, orientation can achieve development in more than strictly economic terms. Emphasizing key aspects of Brazil's economy, politics, and society, the authors present an overall analysis of the present system and provide a base from which to assess Brazil's future development.