Economy & Business, Volume 12, 2018

Abstract: The 2017’s super crop harvested in Brazil helped preponderantly to maintain the inflation rate under control. It allowed the inflation rate to reach a historical low level of 2.95% in the year, even below the 3% target set by the Central Bank of Brazil. This performance allowed: a) the release of income for the consumption of a distinct range of products that stimulated the economy, b) a drastic reduction in the basic interest rate, resulting in benefits for both the consumer and the productive sector, and c) to help the government by raising tax revenues and also by inhibiting the fiscal deficit growth. This research aimed at identifying, in terms of monetary value, how much was the liberation provided by the reduction of the value of the national basket of goods in the city of Londrina in 2017. It was found that it reached the amount of R$ 440,290 million (US$ 137,788 million) due to an average reduction of 23% in the cost of the basket of goods, also called basic basket or basic food basket, compared to the previous year.