ABSTRACT
As we saw in Chapter 2 , the Great Depression marked a turning point in the economic history of Latin America. The relative openness of the Golden Age ended in the protectionism of the 1930s. The ending of WW II also marked another turning point for Latin America. In the post-war era, much of the world began to slowly remove the protectionism developed during the 1930s. Latin America did not. 1 Moreover, Latin America went further than simply not reducing the level of protectionism. A large number of different policies were constructed to build up industry in the region. Not only trade policy, but industrial policy , exchange rate policy, and policies for the financial markets were harnessed together in support of the development of industry. As we will see in the last section of the chapter, this headlong rush to industrialize the region ended badly. That is why it is important to outline in more detail in the next section of the chapter the original thought behind this movement.
