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The Federative Republic of Brazil is the largest country in South America. It is the world's fifth-largest country, both by geographical area and by population, and the only Portuguese-speaking country in the Western Hemisphere. In 2010, its population was estimated at 193 million people by the Brazilian Institute of Geography and Statistics (IBGE), occupying an area of 5,290,899 square miles. The territory of the country is divided into five main regions (South, Southeast, Central-West, North, and Northeast), 26 states, one Federal District (where the capital city, Brasília, is located) and 5,565 municipalities. Some municipalities are considered megacities, with populations greater than 10 million inhabitants (for example, São Paulo and Rio de Janeiro), and some have less than 1,000 people, showing the level of diversity that represents the different regions of country.

The Brazilian economy was one of the fastest growing in the world by 2010, making Brazil one of the major emerging markets. The country occupies the eighth position when ranked in terms of nominal gross domestic product (GDP) ($1.571,979 trillion 2009) and the ninth world economy by purchasing power parity (PPP). This level of GDP was achieved despite significant parts of the population living at very low income levels and thus falling outside the consumer market for most significant sectors. This situation has been improving in the 21st century due to economic stability, public investments, and social programs.

History

Europeans first encountered Brazil on April 22, 1500, with a fleet of ships led by Pedro Álvares Cabral, a Portuguese noble, military commander, navigator, and explorer. Initially, the Portuguese called it Terra de Vera Cruz (Land of Vera Cruz) and the territory was claimed by Portugal after its discovery, although colonization was only effective in the early 1530s, when the first settlement was founded.

By the time of the Portuguese arrival, the territory was already occupied by different indigenous people divided into more than 2,000 nations and tribes. These people were traditionally semi-nomadic tribes who subsisted on hunting, fishing, and agriculture. Fossil records show evidence that the area had been inhabited by indigenous groups for at least 8,000 years. Some of these tribes were assimilated by the Portuguese, while others were enslaved or exterminated during various periods of war. The indigenous people were also affected by different types of European diseases (such as measles, smallpox, tuberculosis, and influenza) to which they had no immunity, killing tens of thousands. The Portuguese saw the natives as “noble savages,” and miscegenation of the population was commonplace.

After years trying to enslave the native people in order to use them as labor to exploit the abundant natural resources and in sugar production, which had become Brazil's most important export and economic activity in the 16th century, the Portuguese started to import African slaves to work in the sugarcane plantations. Portugal controlled the African slave trade by the time of the sugar expansion. These processes are important to acknowledge as they have profoundly shaped the country's social structure and economy, and the cultural and ethnic diversity that still characterizes Brazil in the 21st century. Historical data show that about 3 million Africans were brought to Brazil from the 16th to the 19th century, when Brazil was officially a Portuguese colony. This process lasted until 1888, when slavery was finally abolished in the country by the Lei Áurea (the Golden Law), a legal act of Princess Isabel, Empress of Brazil. Brazil was the last nation in the Western world to abolish slavery.

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