Innovation and Inclusion in Latin America: Strategies to Avoid the Middle Income Trap (Studies of the Americas)

This book argues that Latin America must confront two main challenges: greater innovation to increase productivity, and greater inclusion to incorporate more of the population into the benefits of economic growth. These two tasks are interrelated, and both require greater institutional capacity to facilitate both innovation and inclusion. Most countries in Latin America are struggling to escape what economists label “the middle income trap.” While much if not all of the region has emerged from low income status, neither growth nor productivity has increased sufficiently to enable Latin America to narrow the gap separating it from the world’s most developed economies. Although income inequality has diminished across much of the region in recent years, social vulnerability remains widespread and institutional weaknesses continue to plague efforts to achieve equitable development. This volume identifies lessons that can be learned and adapted from experiences within the region and in East Asia, where the middle income trap has largely been avoided. This book is the result of a collaborative project undertaken by American University’s Center for Latin American & Latino Studies (CLALS) and the Corporation for Latin American Studies (CIEPLAN) in Chile, with financial support from the Inter-American Development Bank’s Office of Strategic Planning and Development Effectiveness. "Acknowledgments"--"Contents"--"List of Contributors" -- "Chapter 1: Innovation, Inclusion, and Institutions: East Asian Lessons for Latin America?" -- "Introduction" -- "Innovation in East Asia and Latin America" -- "Innovation Inputs" -- "Innovation Outputs" -- "Inclusion in East Asia and Latin America" -- "Institutions in East Asia and Latin America" -- "Policy Lessons for Latin America" -- "Conclusions" -- "References" -- "Chapter 2: Inclusive Development: Escaping the Middle-Income Trap" -- "Introduction" -- "The Productivity and Innovation Challenge" -- " Regional Integration as an Instrument to Increase Productivity and Innovation" -- " The Challenge of Inclusion and Social Protection" -- "Improving the Quality of Institutions" -- "Conclusions" -- "References" -- "Chapter 3: Industrial Upgrading and Innovation Capability for Inclusive Growth: Lessons from East Asia" -- "Introduction" -- "Sustained Growth as the Basis for Inclusive Growth: The Asian Experience" -- "Limits to Low-Cost Growth Models and the Need for â#x80;#x9C;Double Upgradingâ#x80;#x9D;" -- "Market Failure, System Failure, and Capability Failure4" -- "Ways to Cultivate Technological Capability: The East Asian Experience" -- "Forming and Participating in a Publicâ#x80;#x93;Private Research and Development Consortium" -- "Co-Development Contracts with Foreign Research and Development Specialist Agencies or Firms" -- "Promoting Indigenous Firms by Learning from Multinational Corporations" -- "Promotion of Academy-Run Enterprises in Forward Engineering" -- "Acquisition of Foreign Technologies and Brands Through Mergers and Acquisitions" -- "Criteria for Sectorial Specialization and â#x80;#x9C;Leapfroggingâ#x80;#x9D;" -- "Concluding Remarks" -- "References" -- "Chapter 4: Perspectives on Latin American Technological Innovation" -- "Introduction." Machine Generated Contents Note: 1. Innovation, Inclusion, And Institutions: East Asian Lessons For Latin America? / Barbara Stallings -- 2. Inclusive Development: Escaping The Middle-income Trap / Alejandro Foxley -- 3. Industrial Upgrading And Innovation Capability For Inclusive Growth: Lessons From East Asia / Keun Lee -- 4. Perspectives On Latin American Technological Innovation / Joaquin Gana -- 5. Policies And Institutions For Driving Innovation In Latin America / Gonzalo Rivas -- 6. Productivity, Education, And The Economic Inclusion Of Workers And Small Firms In East Asian Development / Frederic C. Deyo -- 7. Integration, Productivity, And Inclusion In Mexico: A Macro Perspective / Robert A. Blecker -- 8. Middle Classes And Education In Latin America / Maria Eugenia Rodriguez. Alejandro Foxley, Barbara Stallings, Editors. This Palgrave Macmillan Imprint Is Published By Springer Nature, The Registered Company Is Nature America Inc., New York. -- Title Page Verso Includes Bibliographical References And Index. Front Matter....Pages i-xi Innovation, Inclusion, and Institutions: East Asian Lessons for Latin America?....Pages 1-32 Inclusive Development: Escaping the Middle-Income Trap....Pages 33-57 Industrial Upgrading and Innovation Capability for Inclusive Growth: Lessons from East Asia....Pages 59-88 Perspectives on Latin American Technological Innovation....Pages 89-114 Policies and Institutions for Driving Innovation in Latin America....Pages 115-140 Productivity, Education, and the Economic Inclusion of Workers and Small Firms in East Asian Development....Pages 141-173 Integration, Productivity, and Inclusion in Mexico: A Macro Perspective....Pages 175-204 Middle Classes and Education in Latin America....Pages 205-228 Back Matter....Pages 229-235 Arguing that Latin America must face the challenges of innovation for productivity, and inclusion of the population into economic growth, this book identifies lessons from experiences in the region and in East Asia, where the 'middle income trap' has largely been avoided. It is a collaboration by American University s CLALS, and CIEPLAN in Chile.