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Mercosur and the eternal dilemma of integrating into the world

Argentina cannot repeat the mistakes of the last century. The tense relationship with its Mercosur partners could complicate the economic landscape.

Argentine
Mercosur y el eterno dilema de integrarnos al mundo

In these days when the coronavirus pandemic causes such crazy reflections as we are witnessing the end of capitalism, Argentina seems to be insisting on making something imaginary real, stressing political and economic relations with its Mercosurpartners, being one step away from isolating itself from the world.

Humanity is going in the opposite direction!

The development of relations between the early social groups shows that those with a tendency to engage commercially progress faster than those who isolate themselves. On the other hand, complex production systems such as capitalism require many years to to mature the conditions that finally make it possible for humanity to be structured around them.

To trade has been said!

The

economic and political relations of the Middle Ages did not change due to the many pandemics and pests they went through, but succumbed to the gradual changes that were making all the pieces of capitalism fit together.

The mercantilist ideas of the 1500 intensified with the development of commercial imperialism with Britain at the forefront. These “companies” were risky and required financing, so the idea of capital was developed, as shares of the “Companies”. But that idea of trading could not be sustained by a precarious system of production where craftsmen produced according to their needs. It was then that around 1790 the double revolution changed our world drastically.

The industrial revolution introduced the idea of mass production and the French revolution affirmed the nation state as sovereign, establishing borders and allowing the emergence of national capitalist bourgeoisies.

Integration as a new paradigm of the twentieth century

The 19th century and the first part of the 20th century until the end of the Second World War were the consolidation and organization of economic blocs and hegemonic leaderships. But it became clear to the countries of the West that the later world had organized itself to enhance global integration with the emergence of the United Nations and international trade underpinned by the Bretton Woods agreements created by the International Monetary Fund and the World Bank.

Unlike countries such as South Korea, Japan, Canada, Australia and even Germany itself that adhered to this model of integration, Argentina always showed itself in a third position , avoiding its integration under these guidelines.

Already in 1970 this process began the phase of investment and transfer of factories to underdeveloped regions with cheap labor, and while the emergence of the “Asian Tigers” slowly began, Latin America lost relevance in the processes of internationalization of capital.

Thank you Bill, now financial capitalism is in charge

The advent of computer science gave rise to the most dynamic process of change in capitalism that has been seen so far. It slowly moved from tedious transactions to business closures a click away. Since 1990 this pro

Publication Date: 01/05/2020

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