2007 was marked by a mismatch. On the one hand, Lula remained high approval ratings and the economy went well. On the other, however, the president faced growing political difficulties with the parties and Congress. From an economic standpoint, good winds from the global market brought many benefits to the country, which witnessed improvements in several indicators. Politically, a series of problems haunted the Legislative Branch, most of them associated with corruption scandals, paving the way to greater judicial activism. The national government proved to be ineffective in terms of political management, which was
evidenced by the rejection of the renewal of a tax on financial transactions by the Senate.