Face Dependency and Development im Latin America Fernando Henrique Cardoso and Enzo Faletto Translated by Marjory Mattingly Urquidi UNIVERSITY OF CALIFORNIA PRESS BERKELEY - LOS ANGELES - LONDON “3th www.wengewang.orgThis is an expanded and emended version of Dependencia y desarrollo en América Latina (Siglo Veintiuno Editores, SA, 1971). University of California Press Berkeley and Los Angeles, California University of California Press, Ltd. London, England Copyright © 1979 by The Regents of the University of California ISBN 0—520-03527—5 (alk. paper) Library of Congress Catalog Card Number: 75—46033 Printed in the United States of America Designed by Dave Comstock 122 13 4 15 16 17 18 19 20 Contents Preface to the English Edition I. Introduction II. Comprehensive Analysis of Development III. The Period of ‘‘Outward Expansion”’ IV. Development and Social Change: The Political Role of Middle Classes V. Nationalism and Populism: Social and Political Forces of Development in the Phase of Consolidating the Domestic Market VI. The Internationalization of the Market: The New Nature of Dependence Conclusions Post Scriptum Name Index Subject Index vii oe 74 127 149 172 177 217 220Development and Social Change The Political Role of Middle Classes Th tacio Amer , grated inno mate america, the economies that were inte- market through enclav. i Brat u es of national ce nto! of export pfoduction expanded under the stimulus onal lemand and attained some degree of economic sification, At the same time, the structure of Latin Ame c an societies differentiated. New social groups grew u; nae ee eat were directly linked to the export econ. , thereby adding new aspect f n ding 1 is to the conff i cconomic and political interests. fontation of financtt export economies developed not only important financi an | mercantile sectors, but also the initial stages of an | pan-in lustrial society. Groups such as /atifundistas, gricultural capitalists, mine owners, merchants, and bankers pEVELOPMENT AND SOCIAL CHANGE 75 were all linked in varying ways to production. The changes that took place in the period we call “transition’’ show that the different relations among these groups in each country had strategic significance. By ‘‘transition period’? we mean the process by which diversification of the export economy led to the appearance of a middle class. The beginning of an industrial bourgeoisie with the corresponding technically trained professionals, the civil and military bureaucracy, the white-collar workers, and so forth depended on the way the export system was ofga- nized in each country. Nonetheless, the new social groups generally came into prominence during the first three decades of the twentieth century. Latin American countries in which the national sector kept control of the export system developed social movements and a political life that differed from those of countries where the enclave economy finally prevailed in the phase of outward growth. In some counties, local groups in charge of the economy reacted to enclave industries with a policy of withdrawing economically from the basic export sectors in order to retain control of other parts of the production system. At the same time, the rural of mercantile-financial bourgeoisie reached agreements with the enclave sector. In countries where the export system was weak, the policy of retrenchment and accommodation with international investment groups did not work, and the export sector became a mere agent of foreign enterprises. The economic scope of national enterprise was thereby limited to regional control of agricultural and mining output for the domestic market: New and important differences were introduced into the enclave economy by the presence of British capitalism or the predominance of United States investment, as well as by the participation of the middle class in the game of power. These differences in turn influenced the first attempts by the Latin American countries to organize their economies by adding the stimulus of the domestic market to that of the external sector. ————