Trading inequality? Insights from the two globalizations in Latin America

Arbeitspapier

Trade flows among countries have increased dramatically during the last globalization episode creating new winners and losers between and within countries. This paper revisits the contested topic of the impact of globalization on within-country inequality in Latin America from a historical perspective. By comparing the two globalization waves (1870-1914, 1970-present) we look at the link between globalization and inequality. Many Latin American countries are still dependent on exporting raw materials, lack an efficient manufacturing sector, and exhibit the highest inequality rates in the world. One hundred years ago, several decades after independence, the region was also highly unequal, specialized in a handful of commodity exports, and had not made the transition to industrialization. The results indicate that the effect of globalization on inequality operates mainly inducing changes in factor endowments while the adoption of labor-saving technologies appears influential in both periods.

Object Details

• ISBN: 978-92-9230-221-4
• Language: Englisch

References and Relationships

• Bibliographic citation: Series: WIDER Research Paper ; No. 2009/44

Classification and Topics

• Classification: Wirtschaft ; Economic History: Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy: Latin America; Caribbean
• Subject: income inequality ; economic history ; globalisation ; terms of trade ; Latin America ; Globalisierung ; Terms of Trade ; Einkommensverteilung ; Lateinamerika

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Arroyo Abad, A. Leticia ; Santos-Paulino, Amelia U.
• Event: Veröffentlichung
• (who): The United Nations University World Institute for Development Economics Research (UNU-WIDER)
• (where): Helsinki
• (when): 2009

Further information

• Handle: http://hdl.handle.net/10419/45084
• Last update: 10.03.2025, 11:44 AM CET