In February 1987, the National Constituent Assembly was convened, following the failure of the Cruzado Plan. During this period, inflation was at 12.6% in that month alone and was accelerating rapidly, given the chaotic exit from the price freeze. The authorities responded with a new freeze in May, in the context of the Bresser Plan, which also failed, causing inflation to exceed the 20% monthly mark.
While the constitutional work continued, the economic crisis worsened. In October 1988, when the new Constitution was promulgated, inflation was already at 25.6% per month and continued to accelerate, reaching 37.5% in January 1989. The 12-month cumulative rate exceeded the 1,000% mark.
The government's response was the Summer Plan, the third consecutive price freeze, which failed even more quickly than the previous ones. By September 1989, inflation had already reached 37.6% monthly, demonstrating the inability of freeze policies to contain the economic crisis.
In November 1989, in the second round of the first direct presidential elections since 1960, the economic situation remained out of control, with inflation at extremely high levels. The article establishes a relationship between the constitutional work and the economic crisis that plagued the country during that period.
