ABSTRACT
The stimulus furnished by industrialization, creating conditions favorable to national and foreign private investment, together with the growth of governmental investments, forms the basic explanation for the extraordinary development that Brazil underwent in the period. The fundamental importance of the appearance of a domestic market lies in the fact that industrialization is possible only to the extent that this domestic market exists. The simple fact that the government of the Revolution of 1930 favored industrialization, in contrast to the negativeness of previous governments, was highly significant. Between 1930 and 1961 Brazil's economic, political, and social structures were transformed, setting the stage for a national industrial revolution. The Brazilian industrial revolution was therefore carried out mainly by immigrant entrepreneurs, or children and grandchildren of immigrants, of middle-class origin. Government intervention is a characteristic of Brazilian economic development that is often spoken of in a derogatory way.
