ABSTRACT

This chapter describes the regional background where MERCOSUR was born, which was marked by the implementation of the Washington Consensus as opposed to the European regional integration model. It discusses the impact that the European community had on the design and implementation of MERCOSUR integration process. The chapter intends to shed some light on the role of ideas and knowledge in the decision to create a common market in a context where a completely different hegemonic paradigm prevailed. International financial institutions and American universities played a key role in the creation of these epistemic communities. Due to the powerful influence exerted by the European Union (EU) through technical cooperation, the creation of forums and widespread public debate, the scale finally tilted in favour of a deep integration model. Extensive literature on the origins and shape of the Southern Common Market (MERCOSUR) tends to focus on the economic and geopolitical explanations.