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Development Models in Muslim ContextsChinese, 'Islamic' and Neo-liberal Alternatives$
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Robert Springborg

Print publication date: 2009

Print ISBN-13: 9780748639687

Published to Edinburgh Scholarship Online: March 2012

DOI: 10.3366/edinburgh/9780748639687.001.0001

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Latin America's View of China: Interest, but Scepticism

Latin America's View of China: Interest, but Scepticism

(p.26) Chapter 2 Latin America's View of China: Interest, but Scepticism
Development Models in Muslim Contexts

Barbara Stallings

Edinburgh University Press

China's dramatic economic success over the past decades has attracted worldwide attention. It has provided new markets for exporters and has outperformed most of its trade partners. Beyond its economic impact, China is important because it is a potential model for developing countries. This chapter examines China's importance for the developing world, with particular emphasis on Latin America. The first section discusses the components of the Chinese model as seen from Latin America. These can be summarised as a powerful state with an extensive role in the economy; a reliance on both trade and foreign investment; low wages; and an authoritarian political system that operates in a relatively decentralised fashion. The second section analyses the prerequisites for “Chinese-type success”. These are: high investment rates and resources to finance investment; an educated population and labour force; and a long-term view of the development process and creation of public-private partnerships. The third section of this chapter discusses the expanding economic relations between China and Latin America. The chapter ends by examining the international context in which Latin American development takes place and what greater Chinese influence could mean.

Keywords:   China, Latin America, Chinese model, exporters, economic relations

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