Brazil ranks among the largest countries in the world, in terms of its people, its landmass, and its economy. It is endowed with a highly entrepreneurial people, rich cultural heritage, precious natural resources, well-developed socio-political institutions and a sophisticated economy. Over the last decades, Brazil has made vast progress, in particular in its social indicators and it economic institutions. Brazil—Equitable, Competitive, Sustainable provides a range of policy information prepared by the World Bank"s Brazil Team with partners during 2002. It aims to contribute to the discussion in Brazil and elsewhere about public policies to be formulated by the Brazilian governments for the period 2003-2006, and beyond, as well as being a vehicle to exchange lessons of experience from Brazil to the rest of the world and vice versa. The information presented in this book is organized along five overarching themes: investing in people; improving productivity; managing natural resources; delivering government services to all; and stabilizing the economy. Part I brings contributions on education, health and social protection, and discusses human and social protection, and human and social capital challenges. Part II is focused on finance, infrastructure, private sector development, and innovation and technology issues, summing up the experience and views on physical capital and investment climate. Part III corresponds to natural capital and quality of life issues, bringing messages on forest use and conservation, rural development, natural resources, and urban and water services. Finally Part IV addresses the prerequisite for the other themes, analyzing conditions for macroeconomic stability, fiscal sustainability, and good governance.