In the eyes of many, China's unprecedented economic rise has
brought nothing but good news to the countries of Latin America and
the Caribbean. Indeed, China's growing appetite for primary
products, and the ability of Latin America to supply that demand,
has played a role in restoring growth in Latin America, both in the
run-up to the global financial crisis and in its aftermath.
The dragon in the room that few are talking about is the fact that
China is simultaneously out-competing Latin American manufacturers
in world markets--so much so that it may threaten the ability of
the region to generate long-term economic growth. One of the
authors' key claims is that China is rapidly building the
technological capabilities necessary for industrial development,
whereas Latin American tech innovation and sophistication lags
considerably. At a deeper level, the findings in this volume imply
that China's road to globalization, one that emphasizes gradualism
and coordinated macro-economic and industrial policies, is far
superior to the "Washington Consensus" route taken by most Latin
American nations, particularly Mexico.
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