The development strategy of the import-substituting industrialization (ISI) is the replacement products manufactured through inland by import goods; it is a development concept, which was converted particularly in and the 60's 50's in south Asia, Africa and Latin America.

Industrialization is the coinage of a national economy by industry, thus the adjustment of economic life and society on the processing trade. ISI is thus the attempt to tooth two economic complexes in such a way that they complement each other and strengthen mutually. The temporary protection of the home market by tariffs is to make the structure of a profitable secondary sector for the mass production (scale effects or Economies OF scale) and experiences possible (learning by doing) by the development of size advantages. Its products again can satisfy and make domestic consumer needs the import unnecessarily. In such a manner abstractly, one finds the concept for centuries in economic texts (about Friedrich Lists of educating tariffs from early 19. Century and recently under the name Infant of Industry tariffs). In and the 60's 50's many developing countries referred explicitly to the ISI and partitioned themselves from the world market.

Particularly in Latin America after the bitter experiences of the world economic crisis in and the 60's 50's consciously a bulkheading was operated by the world market, in order to lower the foreign exchange need and to promote the domestic industries. One wanted itself from double dependence on the agrarian sector and from "„the 1. World "“at one time loosen. Parallel an enormous growth of the state influence on the economy is to be observed, because only the state one considered capable to provide despite the arrears of Europe and the USA for the structure of an industry. The consequence was a two decades continuing upswing, which however only parts of the society came to property: Entrepreneurs, industrial workers and state employees. Despite the problems put on in the concept of the ISI these politically powerful participants created it to continue the development model for a long time - are enough to - until it collapsed in numerous economic crises into the 70ern.

Historical context

Post office-colonial north south trade

The first phase of the globalization between independence of the Latin American states and the world economic crisis (1815 - 1929) deepened the sample of the colonial division of labor. Latin America exported agricultural products and mining industry products, which were manufactured by an often quasi feudalem Hacienda system and/or by oligarchisch organized mine entrepreneurs. The small possessing Oberschicht satisfied its need at high-quality consumer goods particularly by imported goods from Europe and the USA. While the export sectors of the Subkontinents were nevertheless modernized by technology and capital from the north (Preusse 1991:9), became the remainder of these "„binary economy "“uncoupled and stagnated (Bernecker/Tobler 1996:15).

The most important export property of 1900 in the countries of South America: Argentina (wool), Bolivia (silver), Brazil (coffee), Chile (Salpeter), Colombia (coffee), Mexico (silver), Peru (sugar), Uruguay (wool) and Venezuela (coffee). Most states depended beyond that to 50% - 80% of the export on only two goods (Thorp 1998:53, 347).

The first wave starting from 1929

This model of the international trade received the first absorber by the First World War, which limited the import possibilities sensitively. Very many more deeply however the break-down went due to the world economic crisis, which the traditional system literally brought to succumbing. Because of over-capacities in Europe and the USA the prices for wheat, meat and wool fell into the cellar. With the industriellen depression also the demand for mineral raw materials was missing ever more. As the open national economies of the world the South American states suffered like no different. The export quantities of Latin America sank after 1929 within three years at a quarter and the obtained prices broke around two thirds (Thorp 1998:105); so could be only financed half of the imported goods. Most badly it met Chile: The receipts from exports sank around 82% and the restaurant achievement around 40% (Thorp 1998:114). The social consequences are hardly conceivable and for decades remembered this historical drama into the social memory of Latin America, so that the world market was felt primarily as threat. However the forced uncoupling of the world market provided for an industrialization thrust: Native producers replaced the imported goods become priceless and created a secondary sector.

The second wave starting from 1949

The first attempts, this development already began end of the 30's actively to supporting. After the Second World War the development policy was aligned purposefully increasingly "„to the import substitution "“(Hessian 1968:645). Although the Rohstoffpreise continued to tighten 1953 after the Korea war, economics and development politicians of the south set world-wide on a partitioning development policy. They wanted to make their countries independent of imported goods, to protect their industries against "„the ruinous competition "“of the industrialized countries and to make by active economic policy "„the guidance sector "“industry the course horse of the development. With the establishment of the Econmica para el Caribe (CEPAL) 1949 and her Secretary-General Prebisch (until 1962) the ISI their most prominent advocates received Latina y. The following two decades "„of the second wave of the import substitution "“become therefore also CEPALismo called. Now - 20 years after their beginnings - also theoretical founding of the ISI begins by scientist such as Prebisch, Hans Singer, Gunnar Myrdal or Enrique Cardoso.

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