The Mexican peso crisis

In the author's view, the Mexican financial crisis which erupted at the end of 1994 was not unique, although it did have some special features. Thus, since it could happen again, it would be desirable to gain an in-depth understanding of it. This article therefore analyses the process and underlying causes of the Mexican peso crisis. For this purpose, the author distinguishes three main periods. The first of these extends from the beginning of 1990 up to March 1994, and an analysis is made of the problems that were hatching and the policy options that were available. With regard to the se…

The Caribbean countries and the Free Trade Area of the Americas

The Caribbean countries are acutely conscious of their small size, whether judged by one or all of the criteria of land area, population or gross domestic product (GDP);. Paradoxically, this impels them to join a larger trading group for fear that they might otherwise be denied a place in the mainstream of international activity. This article analyses several characteristics of small countries, with particular attention to those that seem especially relevant to the Caribbean. The paper notes that small size does indeed place greater demands on the national leadership as regards appropriate and…

Panorama de la Inserción Internacional de América Latina y el Caribe 1996

With this new periodical publication, Panorama de la inserción internacional de América Latin y el Caribe, the ECLAC secretariat hopes to initiate a ongoing process of analysis of the region's linkages with the global economy, trade policy instruments that can help improve those linkages in the framework of multilateral and regional agreements and the factors that influence demand in the markets constituted by the industrialized countries and large transnational corporations. This first issue for 1996 describes trends in the trade and trade policies of the countries of the region, with sp…

The contributions of applied anthropology to peasant development

The present surge of interest in participative rural development projects based on peasant communities differs from similar past experiences in that it forms part of a broader tendency to decentralize social management, to enhance the role of the beneficiaries of social policies, and to give them a bigger say in their implementation. In order to avoid repeating the failures of past decades in programmes designed to reduce rural poverty, it is necessary to incorporate elements of modern applied anthropology in programmes for the training of extension workers and in the explanatory models of spe…

The State, business and the restoration of the neoclassical paradigm

The author describes the neoclassical restoration, which, from the 1970s onwards, took a radical approach to the search for a theory of development by attempting to fuse the particular characteristics of developing economies with the central ideas of economic theory. Intervention with the aim of furthering development was perceived not as a solution but as part of the problem, and adjustment programmes were oriented not so much towards correcting imbalances as towards establishing an economic structure close to neoclassical precepts. Several East Asian economies were chosen as examples of the …

Globalization and loss of autonomy by the fiscal, banking and monetary authorities

The idea that globalization impairs the sovereignty of the modern nation-State is increasingly accepted in some academic, government and international circles. Currently, there is generalized concern over the progressive erosion of national authorities' leeway for making decisions on matters of internal interest independently of outside influences. This perception has reached its extreme among those who feel that globalization has transformed the nation-State into a dysfunctional entity in a world without frontiers. It is understandable that a consensus should have grown up around this th…

Foreign investment and competitive development in Latin America and the Caribbean

This article analyses the treatment accorded to foreign investment under the present development strategy. To this end, it looks at the recent dynamics of both direct and indirect foreign investment, including portfolio investment and quasi-equity operations, the latter with reference to contracts for the transfer of production know-how. For this purpose, the main resource flows and their directions are analysed, together with the changes which have taken place in corporate strategies. It is concluded that it is necessary to put together an explicit development strategy in which the main objec…

Economic policy, institutions and productive development in Latin America

ECLAC has submitted an overall assessment of the economic reforms implemented during the past 15 years to the Governments of the region and, based on that assessment, a proposal for strengthening the development process. The central message that emerges from this analysis is that the region needs to work towards forming closer linkages among its macroeconomy, microeconomy and institutional structure by reinforcing the complementarities between macroeconomic and microeconomic sources of competitiveness and fortifying the institutional framework for the development of production activity. Withou…

Aníbal Pinto Santa Cruz

Aníbal Pinto Santa Cruz, Director of the Review since 1986, died on 3 January. His death fills us with profound grief and leaves a deep vacuum in this organization. The Economic Commission for Latin America and the Caribbean benefited for many years from the intellectual sparkle and human warmth of Mr. Pinto, who served for several years as Director of the Economic Development Division. What is more, he was one of the personalities who gave the ECLAC secretariat a clear institutional identity. The depth and clarity of his analyses of Chile and its development process were matched by his real d…

Property rights and the rural land market in Latin America

Land distribution in Latin America is characterized by striking inequality. Notwithstanding the emergence of modern structures in some regions, a few huge land holdings are found alongside a large number of small ones. This situation has long been considered undesirable for reasons of social equity as well as for reasons of efficiency. The topic remains high on the political agenda. The ultimately disappointing results of past redistributive reforms have caused contemporary policy-makers to search for alternatives. In recent years attention has focused on the institution of private property ri…

Inversión extranjera directa e intrarregional en América Latina y el Caribe: una propuesta para su seguimiento = A proposal for monitoring intraregional and foreign direct investment in Latin America and the Caribbean

Anuario Estadístico de América Latina y el Caribe 1995 = Statistical Yearbook for Latin America and the Caribbean 1995

La edición 1995 del Anuario estadístico de América Latina y el Caribe contiene una selección actualizada a comienzos de diciembre de las principales series estadísticas disponibles sobre la evolución económica y social de los países de la región.…

Reflexiones sobre estrategias territoriales para el desarrollo sostenible = Reflections on territorial strategies for sustainable development

Resumen Desde antes de la Conferencia de las Naciones Unidas sobre el Medio Humano, celebrada en Estocolmo en 1972, la Comisión Económica para América Latina y el Caribe (CEPAL) ha venido efectuando importantes contribuciones para apoyar los esfuerzos de los países de la región por alcanzar metas de desarrollo sostenible. Especial mención merece el documento El desarrollo sustentable: transformación productiva, equidad y medio ambiente , publicado en 1991. En lo que respecta específicamente al tema del agua, la energía y la biodiversidad, la CEPAL ha contribuido con una vasta cantidad de …

Virtues and limitations of census maps for identifying critical deficiencies

Critical deficiency maps, conceived as objective, uniformly applicable technical tools that could be employed to make social expenditure more efficient and effective, constitute the most ambitious and successful method devised to date for using census data for social planning in Latin America and the Caribbean. Nevertheless, while their importance and potential as a policy tool have gained increasing recognition, questions have arisen concerning their virtues and limitations and on how they could be made to serve the need for more complex social information or to reveal the changing forms that…

Education in basic skills and training for productive work

The success of global policies and strategies aimed at training for productive work depends to a large extent on the level of development of basic skills among the work force and, likewise, training costs will vary according to the level of general preparation of those entering on the process. In view of the close relationship between the structure of the school system, the development of basic skills and actual training, different options are available for attempting to resolve imbalances between training for productive employment and previous basic education. These range from expanding and u…

The competitive challenge for Brazilian industry

This article defines the stages of development reached by industries that account for half of Brazil's total output and identifies the competitive challenges they face, including those associated with the country's industrial policy. Between 1980 and 1994, Brazilian industry experienced persistent macroeconomic instability as the country's trade liberalization efforts proceeded. By means of a series of adjustments, however, the sector did manage to adapt to this hostile environment; in fact, it not only survived but actually succeeded in maintaining its ability to help cover the…

Draft work programme of the Economic Commission for Latin America and the Caribbean Subregional Headquarters for the Caribbean for the 1998-1999 biennium

Macroeconomic policies for growth

This article analyses the interrelation between the macroeconomic framework and growth. After reviewing the recent macroeconomic environment, highlighting progress and shortcomings, it focuses on the implications of the existence of gaps between production capacity and its degree of utilization or effective demand; the way in which persistent disparities in this respect affect the speed of expansion of the production frontier is illustrated by examples from the 1980s and 1990s. It then reviews economic policies that affect the degree of proximity between the production frontier and effective d…