Latin America and the Global Economy

The expansion of the global economy--especially as guided by the neoliberal perspectives of the creditor countries and the International Monetary Fund--has had a dramatic, albeit less than successful, impact on economic growth in Latin American countries. The philosophy of creditor countries to promote economic growth in Latin America and elsewhere in the Third World has undergone several transformations over the last half century, ranging from a purely liberal perspective to today's neoliberal perspective. Thus far, each regime has not been successful in terms of a variety of different measures, such as growth in overall gross national product, economic independence among Latin American nations, and the distribution of income among creditor countries and debtor countries as well as among social classes within Latin America.

Income distribution is a politically explosive issue with a complex and troubled history. It has once again become an important theme in today's deve

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. Expanding spheres of influence as well as taming a growing revolutionary zeal in Latin America prompted refining the liberal perspective of the global economy to take into account the Third World. Adopted widely in Latin America, the "import substitution" model arose from the work of economists who sought solutions to the problems of "underdeveloped" countries. Long-term economic progress through industrialization was key, via replacement of imported manufactured goods with domestically produced goods. The "structuralists" provided theoretical support for the model's inward-looking policies by underscoring a structural bias in the global trading system against developing countries exporting primary commodities. They believed industrialization could be achieved through backwards linkages in the economy, starting with light industry and concluding with capital goods production. Regional trading among developing countries would provide a springboard for global trade (Carrasco, 1994, pp. 232-233). Domestic regulatory law, rather than international law (the NIEO approach), implemented import-substitution policies. The state erected high tariffs and nontariff barriers (such as import quotas and licensing requirements) to protect
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Some common words found in the essay are:
Latin American, World Bank, Bretton Woods, Latin America, Mexico Argentina, Income Distribution, Facility IMF's, Jacobson Sidjanski, Seligmann Phillips, Bank IMF, income distribution, world bank, developing countries, latin america, adjustment programs, structural adjustment, bretton woods, global economy, structural adjustment programs, woods institutions, bretton woods institutions, imf world bank, stabilization structural adjustment, imf world, latin american countries,
Approximate Word count = 3638
Approximate Pages = 15 (250 words per page)

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