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But the event became divisive as the government spent billions on brand new stadiums even as poverty continued to plague Brazil’s favelas, or shanty towns.One stadium was built in a far flung region that abuts the Amazon jungle, which critics argued would have little use after the cup.Related: Cost of World Cup dream: $3,000 to $30,000″A developing country like that didn’t need to spend its money that way,” said Peter Kohli CEO of DMS Funds, which manages emerging markets investments.Brazil is now gearing up to host the 2016 Olympics.There have even been allegations of corruption against Rousseff’s Worker’s Party, though they didn’t seem to sway voters significantly at the polls.Norway disses Olympic extravaganceBrazil’s plight is a sharp reversal from previous years when the nation was a darling of emerging markets investors. But economic mismanagement and slumping commodity prices have sent it spiraling downwards.The numbers don’t look good.In a report this month, the IMF said it now expects Brazil to eke out growth of just 0.3% in 2014. And in March, Standard and Poor’s downgraded Brazil’s long term sovereign bonds to just one notch above junk status.Related: ‘Mediocre’ growth plagues world economyBrazil’s currency, the real, has dropped 12% against the dollar in the past three months.The nail bitingly close election in many ways showcased a country at a crossroads.

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