Can Latin America Tap the Globalization Upside?

de la Torre, Augusto ; Didier, Tatiana ; Pinat, Magali

World Bank, Washington, DC

关键词: ADVANCED ECONOMIES;    AGGREGATE DEMAND;    ARBITRAGEURS;    ASSET MANAGEMENT;    ASSET MANAGERS;   

DOI  :  10.1596/1813-9450-6837
RP-ID  :  WPS6837

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

This paper discusses the theoreticalarguments in favor of and against economic globalizationand, with a view to ascertaining whether Latin America maybe able to capture the globalization upside, examines thetrends and salient features of Latin America'sglobalization as compared with that of Southeast Asia. Thepaper focuses on trade and financial integration as well asthe aggregate demand structures (domestic demand-drivenversus external demand-driven) that underpin theglobalization process. It finds that Latin America ismitigating some bad side effects of financial globalizationby moving toward a safer form of international financialintegration and improving its macro-financial policyframeworks. Nonetheless, Latin America's progress inraising the quality of its international trade integrationhas been scant. The region's commodity-heavy tradestructures and relatively poor quality of trade connectivitycan hinder growth potential to the extent that they are lessconducive to technology and learning spillovers. Moreover,Latin America's domestic demand-driven growth pattern(a reflection of relatively low domestic savings) may becomean additional drag to growth by accentuating the risk of alow savings-low external competitiveness trap.