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The International Political Economy of Transformation in Argentina, Brazil, and Chile since 1960 Eul-Soo Pang The International Political Economy of Transformation in Argentina, Brazil, and Chile since 1960 The International Political Economy of Transformation in Argentina, Brazil, and Chile since 1960 Eul-Soo Pang Colorado School of Mines Golden, Colorado © Eul-Soo Pang 2002 All rights reserved. No reproduction, copy or transmission of this publication may be made without written permission. No paragraph of this publication may be reproduced, copied or transmitted save with written permission or in accordance with the provisions of the Copyright, Designs and Patents Act 1988, or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency, 90 Tottenham Court Road, London W1P 0LP. Any person who does any unauthorised act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The author has asserted his right to be identified as the author of this work in accordance with the Copyright, Designs and Patents Act 1988. First published 2002 by PALGRAVE MACMILLAN Houndmills, Basingstoke, Hampshire RG21 6XS and 175 Fifth Avenue, New York, N.Y. 10010 Companies and representatives throughout the world. PALGRAVE MACMILLAN is the global academic imprint of the Palgrave Macmillan division of St Martin’s Press, LLC and of Palgrave Macmillan Ltd. Macmillan® is a registered trademark in the United States, United Kingdom and other countries. Palgrave is a registered trademark in the European Union and other countries. ISBN 0-333-91972-6 hardback This book is printed on paper suitable for recycling and made from fully managed and sustained forest sources. A catalogue record for this book is available from the British Library. Library of Congress Cataloging-in-Publication Data Pang, Eul-Soo The international political economy of transformation in Argentina, Brazil, and Chile since 1960 / Eul-Soo Pang. p. cm. – (International political economy series) Includes bibliographical references and index. ISBN 0-333-91972-6 1. Argentina – Economic policy. 2. Argentina – Economic conditions – 1945– 3. Argentina – Politics and government – 1955–1983. 4. Argentina – Politics and government – 1983– 5. Brazil – Economic policy. 6. Brazil – Economic conditions – 1945– 7. Brazil – Politics and government – 1964–1985. 8. Brazil – Politics and government – 1985– 9. Chile – Economic policy. 10. Chile – Economic conditions – 1970–1973. 11. Chile – Economic conditions – 1973–1988. 12. Chile – Economic conditions – 1988– 13. Chile – Politics and government – 1973– I.Title. II. International political economy series (Palgrave (Firm)) HC167.S67 P36 2002 338.9–dc21 2001036351 10 9 8 7 6 5 4 3 2 1 11 10 09 08 07 06 05 04 03 02 Printed and bound in Great Britain by Antony Rowe Ltd, Chippenham and Eastbourne Contents List of Tables viii Acknowledgements ix Abbreviations xi Introduction xv Part I 1 Latin America in a New Age Latin America in the Age of Globalization Globalization at work The global economy Latin America: then and now The genesis of the Latin American state and IPE A variety of authoritarian states and their offspring Incompatibility of the B-A regime with the global economy Core groups and actors in B-A regimes Political economy of reform and adjustment “Cosmopolitical” economy of Latin America Latin America in the age of economic multipolarity Part II 1 3 3 4 7 8 10 14 15 16 17 18 From Populism to Military Rule and Democracy 21 2 Argentina: the Birth of Latin American Populism The road to populism The making of a populist Argentina The early or sunrise phase: 1880–1930 The classical or golden phase: 1945–66 Argentina in the wo