LATE AND DEPENDENT DEVELOPMENT (9/1/15)

• Dependency Articles
  • Dependency Analysis of Latin America: Some Criticisms, Some Suggestions. C. Richard Bath and Dilmus D. James--Classic overview of dependency theory.
  • On the Origins of ISI: The Latin American Cement Industry, 1900-30, Xavier Tafunell--Challenges the relationship between ISI, post-Depression, and populism.
  • The Neoliberalism Turn in Latin America: The Cycle of Ideas and the Search for an Alternative, Ana Margheritis and Anthony W. Pereira
  • The Platt Amendment, Cosme de la Torriente
  • The End of Hegemony?  Panama and the United States, Sanchez
  • Economic Coercion as an Instrument of Foreign Policy, Schneider
• Dependency in Foreign Relations
  • Overview--Four Eras
    • Monroe Doctrine—19^th century
    • Apex of intervention—1895-1933
    • Good Neighbor Policy—FDR—1933-44
    • Postwar—collective security—multilateralization of Monroe Doctrine—OAS

  • Monroe Doctrine—1823
    • Russian claim
    • Holy Alliance
    • Unilateral—enforce?
    • Roosevelt Corollary, 1904—“Big Stick” Diplomacy
    • Taft, 1908-12—“Dollar Diplomacy”
    • Wilson, 1912-20—idealistic and paternalistic
    • Roosevelt Corollary repudiated in 1928
  • Interventionist Era
    • Cuba
      • Spanish-American War
      • Platt Amendment—intervene/Guantanamo—“The Platt Amendment” by Cosme de la Torriente
      • 1905-1933—US military, financial advisors, investment
      • Post-1930s—US “puppets?”
    • Mexico
      • Earlier—Mexican War, 1846-47—Treaty of Guadalupe Hidalgo—France, Spain, & Gr. Britain 1862-67—Maximilian (Cinco de Mayo).
      • Revolution—Madero—Veracruz—Villa, Columbus NM, Pershing.
    • Panama and Canal
      • “The End of Hegemony?  Panama and the United States,” by Peter M. Sanchez
      • American Experience:  The Panama Canal.  PBS Video.  1 hour, 22 minutes.  With additional resources.
      • France, Philippe Bunau-Varilla (B-V), Colombia, TR
      • Nov. 2-6, 1903, Panamanian revolt, declaraton of independence, recognition by US
      • B-V devised plot, wife sewed flag from Macy's silk, B-V appointed Pan. ambassador to US, sgns Hay/B-V Treaty (1st Canal Treaty--"in perpetuity" and "as if it were sovereign").
      • New Treaty, 1977-78
      • 1989, US invasion
      • Dec. 31, 1999, sovereignty transferred to Panama, but US reserves right to intervene.
    • Nicaragua
    • Common theme?
  • Good Neighbor
    • Roosevelt Corollary and Platt Amendment abrogated
    • Mexico oil expropriation, 1938, a test of non-intervention
  • Postwar Multilateralism
    • OAS
    • IADB
    • UN Economic Comission on Latin America/A4P
  • Postwar Intervention
    • Guatemala, 1954
    • Cuba--Bay of Pigs and assassination attempts, early-1960s--"Economic Coercion as an Instrument of Foreign Policy", by Anna P. Schneider, World Politics.
    • Dominican Republic, 1965
    • Contras and Nicaragua, 1980s
    • Grenada intervention, early-1980s
    • Panama intervention, 1989: Noriega arrested and serves sentence in US--extradited to France for more prison time--now in Panama under a 20 year sentence there
• Economic Dependency
  • Foreign Trade
    • Ms & Xs
    • 1-2 leading Xs
    • Geographic concentration
  • Foreign Capital
    • Private
    • Public
  • Effects
    • Deteriorating terms of trade
    • Boom and bust
    • Decapitalization
    • Growth but social costs (equity)
    • Dualities
• Late Development
  • Occurs after U.S.
  • Role model
  • Demonstration Effect
  • Revolution of Rising Expectations
  • Imbalance--traits of modernity easily acquired but not assimilated
  • Small is Beautiful, E.F. Schumacher ("intermediate technology for development in the third world," Less is More, Natural Capitalism, Voluntary Simplicity)
  • Technology (capital vs. Labor-intensive)
  • Population growth
  • Urbanization (primate cities)
• Development Strategies
  • Conservative Modernization
    • Accept dependency, open eco., intl. division of labor
    • Monetarism (control inflation through demand), austerity, IMF, Milton Friedman, Chicago School
  • Progressive Modernization
    • Manage dependency (protectionism, f.i.), reform (tax, agrarian), UNECLA, Raul Prebisch
    • Structuralism (control inflation through supply)
  • Revolution
    • Reject capitalist dependency, closed economy? autarchy?
    • Equity, state role, basic needs
    • Cuba
• Inflation Rates
• Supply and Demand Curve
  • If the Demand Curve shifts "downward," prices are reduced (Monetarism)
  • If the Supply Curve shifts "upward," prices are reduced (Structuralism)
• For Review (always use sentence and paragraph format--organize)
  • Four eras
  • Monroe Doctrine
  • Examples of Cuba, Mexico, Panama, and Nicarage in Interventionist Era
  • Examples of Post-war interventions
  • What are the dimensions, characteristics, and effects of:
    • Economic dependence
    • Late development
  • What are the key characteristics of the three development strategies