Neodevelopment Theory

The research, in its first part, sought to explain, briefly, the Latin American developmentist thinking and how it behaved and evolved during the twentieth century, reaching the so-called neodevelopmentism. This one, with its two aspects, tries to present a clear proposal capable of overcoming the perverse arrangement present in the countries of the region among weak political institutions, large transnational economic groups and expressive influence of the central economies.

The theoretical structure of neodevelopmentism is still under construction. However, it can be said that some important points of the theoretical framework are already with well-founded studies, such as the exchange rate and interest issues – significant studies done by precursors and post-Keynesians; and the improvement of the insertion of workers in the capital-labor relationship – a highlight given by the Social-developmentists. The significant observance of the macroeconomic instability given by the New-developmentists makes this the most well-structured field of this new theory.

In relation to the industrial policy of President Silva and

Besides consolidated and stabled institutions, this would avoid the emergence of “capitalism of compadres” and the privileged caste. Therefore, it is observed that the New-developmentism of precursors and post-Keynesians did not fail as an alternative model to conventional orthodoxy; it did not actually come to fruition. What happened in the PT governments was the returning of state intervention and the attempt to adopt a mixed model of wage-led growth and export-led growth. However, without observing the macroeconomic guidelines, without carrying out crucial reforms, such as tax and policy, besides to ignore mechanisms of control and