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The Decline of Latin American EconomiesGrowth, Institutions, and Crises$
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Sebastian Edwards, Gerardo Esquivel, and Graciela Marquez

Print publication date: 2007

Print ISBN-13: 9780226185002

Published to Chicago Scholarship Online: February 2013

DOI: 10.7208/chicago/9780226185033.001.0001

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PRINTED FROM CHICAGO SCHOLARSHIP ONLINE (www.chicago.universitypressscholarship.com). (c) Copyright University of Chicago Press, 2020. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in CHSO for personal use.date: 29 March 2020

The Political Economy of Protectionism

The Political Economy of Protectionism

The Mexican Textile Industry, 1900–1950

(p.363) 10 The Political Economy of Protectionism
The Decline of Latin American Economies

Aurora Gómez-Galvarriato

University of Chicago Press

This chapter explores the evolution of international competitiveness and protectionism in Mexican textile manufactures, which is a paradigmatic example of an overprotected industry unable to compete internationally. By 1990, most mills in the traditional Mexican textile regions of Puebla, Tlaxcala, and Veracruz were on the verge of bankruptcy, if they had not already closed. A visit to several of them evidenced the use of outdated technology, which in some cases dated back to the nineteenth century. Since data on the textile industry at the national level are not rich and accurate enough to provide answers to many of these questions, the chapter explores the case of a particular firm, the Compañía Industrial Veracruzana S.A. This firm owned one of the biggest and most modern mills operating in Mexico during Porfirian times (1880–1910). Although operating until the present time with great struggle, it is but a shadow of what it used to be.

Keywords:   protectionism, Puebla, Tlaxcala, Veracruz, textile industry, Compañía Industrial Veracruzana, mills, Mexico

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