South American Industrialization Quiz

Study Notes

South American Industrialization

The establishment of a car assembly plant in São Caetano do Sul, Brazil, exemplifies the post-World War II shift towards industrialization in South America.
This shift was driven by the availability of cheap labor and a large consumer market.

The Impact of the 1929 Crisis

The 1929 crisis significantly impacted South America, particularly Brazil.
The economic downturn in the United States, a major trading partner, led to a decline in the sale of commodities from South America, negatively affecting their GDP.
This hindered the import of industrialized products from the US, necessitating the development of domestic industrial sectors.

Post-World War II Industrialization

After World War II, European, US, and Japanese industrial groups expanded production to various regions, including South America.
This expansion was driven by seeking out cheap labor and a growing consumer market.
The opening of the South American economy led to the establishment of more advanced industrial hubs, such as in the automotive sector.
This process of industrial development was labeled "peripheral industrialization".

Foreign Ownership and Industrialization

Foreign-owned industries dominate South American industry.
The presence of foreign affiliates of multinational conglomerates leads many scholars to argue that South America is not truly industrialized.
The industry systems in South America depend heavily on advanced technologies from more developed countries.

Political and Economic Blocs

Trade blocs aim to integrate economies and foster their growth by reducing or eliminating tariffs on trade between member nations and potentially facilitating the free movement of goods and people.

South American Economies

The economies of most South American countries have grown in recent decades, as seen through their Gross Domestic Product (GDP) performance.
The 2008 global crisis, originating in the United States, caused a setback in the development of many South American economies.

Primary Sector in South American Economies

Agriculture plays a significant role in the South American economy.
There are two main models of agricultural practice:
- Domestic Market Focus: Small-scale rural producers operate small farms, producing various food items for the local market.
- Export-Oriented: Large-scale agribusinesses, or "agronegócio", focus on cultivating products for export.

South American Industrialization Compared to Other Regions

Despite its strong tertiary sector, Brazil is still categorized as an emerging nation on a global scale.
South American industrialization is considered comparatively late when compared to Europe, the United States, or Japan.
The industrialization in South America is classified as peripheral industrialization due to the presence of foreign companies and the use of transnational technologies.
Countries like Brazil, Argentina, and Chile attempted industrialization in the 19th century but were unsuccessful.

Description

Test your knowledge on the industrialization of South America, focusing on the establishment of car assembly plants and the impact of the 1929 crisis. Explore how these factors shaped the region's economic landscape post-World War II, including the shift towards domestic industrial sectors.