Astorga Junquera, PabloHerranz Loncán, Alfonso2021-11-292021Astorga P, Herranz-Loncán A. Latin America: stalled catching up. In: Broadberry S and Fukao K, editors. The Cambridge economic history of the modern world. Cambridge: Cambridge University Press; 2021. p. 251-75. DOI: 10.1017/9781316671603.0109781108953771http://hdl.handle.net/10230/49081Latin America made considerable progress in living standards between 1870 and 2010 amid rapid modernization and structural change. However, despite these remarkable advances, the income gap between the region and the industrial leaders remains significant. This chapter assesses the long-term performance of Latin America relative to the developed world and discusses the key transformations in Latin America. Excess volatility, poor productivity and high inequality remain essential to explaining why the region has been unable to converge with the industrialized core through advances in human capital, R&D, and infrastructure investment. In order to improve future prospects in standards of living and catching up, the region would need to adopt a development model that delivers sustained and inclusive economic growth. Key elements of this model are a higher rate of investment, a proactive industrial policy, tighter intra-regional integration, and greater redistribution to finance a better quality of education and inclusive social services.application/pdfengThis material has been published in The Cambridge economic history of the modern world edited by Broadberry S and Fukao K. This version is free to view and download for personal use only. Not for re-distribution, re-sale or use in derivative works. © 2021.info:eu-repo/semantics/bookParthttp://dx.doi.org/10.1017/9781316671603.010Latin AmericaIncome convergenceHuman developmentEconomic growthIndustrializationIncome inequalityProductivity.info:eu-repo/semantics/openAccess