Structure of Third World economic interdependence

Journal Article · · Int. Organ.; (United States)

DOI:https://doi.org/10.1017/S0020818300026990· OSTI ID:5293232

Gasiorowski, M J

In an examination of the nature of economic interdependence in the less developed countries (LDCs), the author concludes that the LDCs are more economically dependent in the sense of being more deeply involved in economic interdependence relationships than developed countries (DCs). The evidence indicates that interdependence is primarily vertical (i.e., North-South) and is more asymmetric, which affects national security and international relations. The analysis focuses on trade links and the implications that lower import price elasticities and higher direct foreign investment have for the LDC's vulnerability. Western DCs contribute 70% and OPEC contributes 20-25% of LDC foreign aid. This vertical relationship makes LDCs more susceptible to trade disruptions and economic fluctuations. OPEC price increases had a major economic impact on the LDCs. 5 tables.

• OSTI ID: 5293232
• Journal Information: Int. Organ.; (United States), Journal Name: Int. Organ.; (United States) Vol. 39:2; ISSN INORB
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700* -- Petroleum-- Economics
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
294002 -- Energy Planning & Policy-- Petroleum
DEVELOPING COUNTRIES
ECONOMIC DEVELOPMENT
ECONOMIC IMPACT
FINANCIAL ASSISTANCE
FINANCIAL INCENTIVES
FINANCING
IMPORTS
INTERNATIONAL ORGANIZATIONS
INTERNATIONAL RELATIONS
INVESTMENT
OIL-EXPORTING COUNTRIES
OPEC
TRADE