NewsWhore
09-21-2011, 07:20 PM
The World Bank is challenging Latin America and the Caribbean to make the most of the relationship with China to turn recent vigorous recovery into sustainable robust growth for the future. The Central Bank has just published a new report, Latin America and the Caribbean's Long-Term Growth: Made in China, which takes an in-depth look at the China-LAC relationship, particularly as it compares to Japan's interaction with East Asian economies from the 1970s to the 1990s. The report concludes that China's role in Latin America will need to adapt and evolve if it is going to have a lasting, positive impact.
"There is little evidence that China can play a role in fostering productivity growth for Latin America and the Caribbean," says the World Bank's Chief Economist for the region, Augusto de la Torre. "In this new context of lackluster economic performance in the US and Europe, one key question is whether LAC can leverage its deepening connections with China and turn it into an important source of long-term growth."
The golden years of the East Asian Tigers were characterized by large flows of intra-industry trade and foreign direct investment from Japan, with significant distribution of technology and knowledge more broadly. The first decade of Chinese relations with Latin America have lacked much of that promising exchange.
China has become the principal trading partner for some large LAC countries. Trade between China and these nations has revolved around the exchange of the region's abundant natural resources for low-tech goods from China that are labor-intensive to produce. This type of trade typically limits the potential gains from technology and knowledge sharing.
http://web.worldbank.org/WBSITE/EXTERNAL/NEWS/0,,contentMDK:23006077~pagePK:64257043~piPK:437376~theSitePK:4607,00.html
More... (http://www.dr1.com/index.html#5)
"There is little evidence that China can play a role in fostering productivity growth for Latin America and the Caribbean," says the World Bank's Chief Economist for the region, Augusto de la Torre. "In this new context of lackluster economic performance in the US and Europe, one key question is whether LAC can leverage its deepening connections with China and turn it into an important source of long-term growth."
The golden years of the East Asian Tigers were characterized by large flows of intra-industry trade and foreign direct investment from Japan, with significant distribution of technology and knowledge more broadly. The first decade of Chinese relations with Latin America have lacked much of that promising exchange.
China has become the principal trading partner for some large LAC countries. Trade between China and these nations has revolved around the exchange of the region's abundant natural resources for low-tech goods from China that are labor-intensive to produce. This type of trade typically limits the potential gains from technology and knowledge sharing.
http://web.worldbank.org/WBSITE/EXTERNAL/NEWS/0,,contentMDK:23006077~pagePK:64257043~piPK:437376~theSitePK:4607,00.html
More... (http://www.dr1.com/index.html#5)