Intervention in the Economy Via the Government Procurement System

Considering that Brazil's economy is mostly nationalized, that is, it depends on the action and initiative of the State - the government - and that the share that the private sector has at its disposal to achieve its objectives is minimized by the interventionist action of the State – the regulatory government – the economic sphere that the government reaches with its effective purchasing power makes the private sector even more dependent on its largest consumer.
Thus, public purchases have great significance in the performance of a significant part of the private economy, which implies a corresponding influence of a political nature.
A high degree of flexibility in administrative legislation, arising from a licentious hermeneutics of Administrative Law, authorizes public service providers to provide public services, for which they were never elected.
Reading a geo-political scenario is antecedent to the achievement of National Power1 and such Objectives, according to (FERNANDES, 2009).
Frédéric Ratzel, who had a biological, expansionist and imperialist conception of the State,16 is considered the precursor of geopolitics. Rudolf Kjellen, founder of the perspective that conceives it as a separate discipline from geography, ended up radicalizing the notion of State proposed by Ratzel. His ideas were mainly assimilated by the Nazis. However, according to the ESG's own guidelines “it should be highlighted that the North American Alfred Tahyer Mahan can be considered as the precursor of Geopolitical Theory, with his conception of 'manifest destiny', which had so much influence on the direction of the foreign policy of the United States of America” (BRASIL, 1983: 88).
The Power of Empire is the power of the elected, the Power of Management is the responsibility of the private sector2.
If, on the one hand, the elected official has responsibilities towards voters, they have responsibilities towards each other, to make the economy work. With the Management School implemented in Brazil with the 1995 State (government) Reform Plan, neither citizens have the freedom they could – and should – nor does the State have the power of intervention that its planners would like, as markets global forces constrain the action of governments and the “sovereignty” of States while the Power of Empire is “transferred” by elected agents to others, who are not elected, but who receive the benefits of the Power of Empire, now transferred and validated, to exercise functions of the Management Power, constrained by the new regulation and intervention.

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