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1. The Impact of the 21st Century Commodity Supercycle on Natural-Resource Dependent Economies: The Case of Bolivia and Peru

Author:
Daniel Agramont-Lechín
Publication Date:
01-2024
Content Type:
Working Paper
Institution:
Postgraduate Program on Sustainable Development and Social Inequalities in the Andean Region (trAndeS)
Abstract:
In the early 21st century, Bolivia and Peru experienced remarkable economic growth, coupled with notable reductions in poverty and inequality. However, the subsequent economic slowdown triggered by declining international commodity prices raised concerns about the sustainability of their progress. Historically, both nations have been vulnerable to fluctuations in global commodity prices, often resulting in social unrest and political instability. This study examines whether the significant influx of resources to Bolivia and Peru from 2003 to 2013, attributed to the commodity boom, fostered structural transformation or, on the contrary, reinforced their dependence on the global economy. Analyzing macroeconomic and productivity data, the research indicates a strong correlation between their economic performance and the commodity supercycle trend. A primary finding suggests that rather than fostering a more self-reliant economic integration, the 21st-century economic boom exacerbated the reliance of both nations on natural resource extraction. However, a more nuanced examination reveals divergent medium-term impacts driven by each nation’s development model. Peru, through diversification of international revenue streams and prudent macroeconomic policies, managed to mitigate the effects of declining commodity prices. In contrast, Bolivia’s economy bore the brunt of diminishing income, not only due to the end of the commodity boom but also due to insufficient investments in productive sectors.
Topic:
Natural Resources, Economy, Neoliberalism, Commodities, Extractivism, Economic Dependence, and Post-Neoliberalism
Political Geography:
South America, Peru, and Bolivia

2. A Politics of Hope: The Making of Brazil’s Post-Neoliberal New Middle Class

Author:
Moises Kopper
Publication Date:
09-2019
Content Type:
Working Paper
Institution:
Max Planck Sciences Po Center on Coping with Instability in Market Societies (MaxPo)
Abstract:
How does hope emerge as a life-altering possibility against the backdrop of economic precarity, political disregard, and soaring inequality? This paper explores the role of hope as both a political-economic construct and an infrastructural affect in the wake of policy implementation. It draws on a five-year ethnography among community leaders, housing activists, planners, politicians, state officials, and market representatives involved in the implementation of Minha Casa Minha Vida, Brazil’s largest social housing program. In recent years, low-income projects have become the battleground for experimental, post-neoliberal forms of democratic governance via inclusive consumption. These public–private housing infrastructures give insight into the relationship between material hope and the making of Latin America’s “pink tide” new middle classes: how grassroots communities organize around hierarchies of worthiness to allocate wellbeing-enhancing state benefits, and how the uneven distribution of these benefits sustains the constitution of emerging, albeit temporary, collectives of consumer citizens.
Topic:
Infrastructure, Citizenship, Middle Class, Post-Neoliberalism, and Social Housing
Political Geography:
Brazil and South America