MERCOSUR: Interaction between Governments and Producers and the Sustainability of the Regional Automobile Industry

Mariano F. Laplane and Fernando Sarti

Chapter 8 in Cars, Carriers of Regionalism?, 2004, pp 121-138 from Palgrave Macmillan

Abstract: Abstract In the years following the Second World War, South American governments implemented development policies aimed at fostering a process of rapid industrialization. During the 1950s, countries like Argentina and Brazil, which had relatively large urban middle-income classes, targeted the automobile industry to lead the process of import substitution of durable goods. It was expected that high tariff and non-tariff barriers together with a set of fiscal incentives would result in the local production of parts and components for locally assembled vehicles.

Keywords: Automobile Industry; Regional Integration; Macroeconomic Condition; Regional Demand; Fiscal Incentive (search for similar items in EconPapers)
Date: 2004
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Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-0-230-52385-2_8

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DOI: 10.1057/9780230523852_8

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