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1 THE GLOBALIZATION OF LATIN AMERICA From the Crisis of Neoliberalism to the Crisis of Neo-developmentalism

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Since the end of the twentieth century, Latin America has experienced a process of profound transformation. In order to understand this process, it is necessary to attend to different levels of human development and to local contexts of growth, while also bearing in mind the considerable internal differences that result from the specific situations of various countries, that is, from their different social structures, cultures, and institutions as well as from their different relationships to the global system. Latin America’s transformation is the result of two opposing socioeconomic models, their ascent, and their crises. By “neoliberalism,” we mean a model of growth and distribution based essentially on the dynamics of the market, supported by the state. In what we call “neo-developmentalism,” by contrast, the state is the motor of economic growth and the mechanism for the distribution of products; it actively intervenes in market processes and in the creation of infrastructures, though without fully nationalizing the economy.

The New Latin America

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