I think you could probably take this either way.
If they are standing "in" Brazil and looking over to Argentina, then they could be saying "Look! This is a pic of us in Brazil."
However, if they are standing "in" Argentina, then they could say "Hey look! Over there is Brazil."
So, it could be interpreted either way, I think. It depends on what they are trying to convey in the picture. It also would depend on what their knowledge of the area is. Perhaps they did get it wrong and didn't realize it.
Good spot!!
~Vicks
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