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Transnational Corporations, Dependent Development, and State Policy in the Semiperiphery: A Comparison of Brazil and Mexico

Published online by Cambridge University Press:  24 October 2022

Gary Gereffi  and
Peter Evans
Gary Gereffi
Affiliation:
Duke University
Peter Evans
Affiliation:
Brown University
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Brazil and Mexico occupy distinctive positions in the structure of the capitalist world economy. They bear little resemblance to the classic model of a “peripheral” country: they are too industrialized, having many of the modern industries typically found only at the center of the world economy; they supply themselves with too large a share of the finished goods consumed domestically; their exports are too diversified and include too many manufactured items; and they have developed unusually strong states with sophisticated administrative apparatuses capable of promoting and protecting local interests. But neither do Brazil and Mexico possess the characteristics commonly associated with “developed” or “core” nations. Their gross domestic product per capita is far below that of the United States, Japan, or almost any of the countries of Western Europe; their distributions of income are highly skewed compared to those of the developed countries; they are recipient rather than source countries of foreign investment; they are debtor rather than creditor nations; and they are on the receiving rather than the originating end of product innovation and new production techniques.

Type
Research Article
Information
Latin American Research Review , Volume 16 , Issue 3 , 1981 , pp. 31 - 64
Copyright
Copyright © 1981 by the University of Texas Press

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