Show me the money! Economic openness, the left, and social spending in Latin America. Issue 4 (October 2016)

• Record Type: Journal Article
• Authors: Burrier, Grant
• Is Part Of: Journal of international relations and development. Volume 19:Issue 4(2016)
• Page Start: 608
• Page End: 637
• Publication Date: 2016-10
• Subjects: Latin America -- natural resources -- partisan politics -- social spending -- trade openness -- Uruguay -- veto players -- welfare state; Economic development -- Periodicals; International relations -- Periodicals; Economic assistance -- Developing countries -- Periodicals; Developing countries -- Economic conditions -- Periodicals; Slovenia -- Foreign relations -- Periodicals; 327.05
• DOI: 10.1057/jird.2014.27
• Languages: English
• ISSNs: 1408-6980

Abstract

Abstract How has economic openness affected social spending? Are allocations influenced by the partisan preference of the executive branch? In this paper, I test various hypotheses about the determinants of social spending in contemporary Latin America, using a time-series cross-sectional analysis of 17 countries in the period between 1978 and 2006. Contrary to the expectations of critics, I find that trade openness affects social spending positively and governments are compensating citizens exposed to greater economic uncertainty. In addition, I find that partisanship is an important predictor of social spending. Left-wing executives spend more money on social programmes than their right-wing counterparts. This finding is particularly strong when left-wing executives have greater legislative support. In the final section, I re-examine my quantitative findings in a case study of Uruguay.