Reflections on a Forgotten Continet

Michael Reid the author of “Reflections on a Forgotten Continent” passed by our Institute the other day to give an informal talk on his book. A book that tries to go beyond the headlines (e.g. Chavez’s fiery rhetoric, the home of the illicit drug trade etc.) and paint a picture of Latin America that is far rosier than would otherwise be imagined.

Latin America is, as his title suggests, the “Forgotten Continent”. Unable to attract the same levels of attention as other region of the world, it persistently slips under our - not as poor as Africa, not as tumultuous and oil-rich as the Middle East nor home to booming economies such as India and China. What Michael Reid wants to point out is that Latin America deserves much greater attention. It’s a crucial laboratory for capitalist democracies, the success of which is important for the consolidation of other capitalist democracies around the world.

Despite all the doom and gloom that seems to come out of Latin America over the last 25 years - debt crises, economic stagnation, growing inequality, the return of the populist demagogue – Latin America is finding its feet. Democracy is becoming increasingly consolidated and many of the major nations of the region (Chile, Brazil and Mexico) are going through periods of substantial economic growth. And this growth is supposedly being used to tackle the immense levels of inequality.

I couldn’t help but feel as if he was unduly optimistic about the region – something he acknowledges. Perhaps he was too comfortable, for my liking, to fall into line with the post-Washington consensus view of the region. i.e. that the initial Washington Consensus reforms were implemented badly, or not at all, and should be supplemented with more institutional reform and token social justice measures. Yes, many Latin American countries are improving, but is this on the basis of the post-Washington consensus reforms, or merely because the world economy is booming. What happens when we reach the top of the current economic business cycle and economies start going slightly pear-shaped? Have the likes of Brazil and Mexico done enough to better social welfare and the likes so that when the tough times come, the tough don’t cut and run and leave the poor to bear the brunt of a crisis (as happened with the debt crisis).

Anyway that’s me just being overly pessimistic. Latin America has been on the up in the recent years, but my structuralist/dependency theory leanings has me worrying that the global economy will always eventually undermine the efforts of Latin American nations to seek out a better lot for themselves in the world economic order.

His book is probably a good read for anyone interested, but not overly familiar with Latin America. For those who already know the ins and outs of present day in Latin America it probably won’t shed too much light on the region. It’s possibly overly broad and simplistic given that it wants to cover so many issues, in so many countries, within the boundaries of a single book.

But who am I to say? Here’s a glowing review of the book from the New York Times.