Export Dynamism in Latin America: Why has it been Insufficient for GDP Dynamism?
Since the mid-eighties, Latin America recorded significant export dynamism. This was associated, first, with depreciation of local currencies as a result of the debt crisis, and secondly, with a generalized process of trade liberalization. Indeed, regional exports grew over 7% in 1990–2004. However, despite the export success, the overall economic performance was rather poor, with an annual growth rate of GDP of 2.6% for the region as a whole. Why were the high rates of export growth in the nineties not associated with a vigorous GDP growth in Latin America as did happen, for instance, in the East-Asian Economies?
KeywordsExchange Rate Real Exchange Rate Trade Liberalization Export Performance Export Growth
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