Brazil

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.

One of the most common observations made about Brazil’s current football team is how it has gradually elevated substance over flair. Brazil’s increasingly focused approach may be lacking in the drama department, but there is little question that this team has had the fundamentals to perform well in the World Cup.

Brazilians may also have to adjust to a less dramatic government when Brazilian President Luiz Inacio Lula Da Silva turns the office over to one of two very uncharismatic presidential contenders in October. Though Lula’s personality helped bring Brazil into the international spotlight, many forget that it was his predecessor, Fernando Henrique Cardoso, who laid the economic fundamentals that made the Brazilian rise possible. Like Brazil’s high-performing football team, the post-Lula Brazil will be all about getting back to business, focusing on maintaining the health of the economy and on managing the incoming pre-salt oil wealth. Though Brazil didn't make it past the quarter-finals in this World Cup, the 2014 event may be Brazil's time to shine, both in football and in geopolitics.