The New Palgrave Dictionary of Economics

Living Edition
| Editors: Palgrave Macmillan

Díaz-Alejandro, Carlos (1937–1985)

  • José Gabriel Palma
Living reference work entry


Carlos Díaz-Alejandro was the most prominent Latin American economist of his generation. In his short professional life he gave us powerful insights into Latin America’s trade and development, and its economic and financial history. In true Kindlebergian tradition, he was particularly fascinated by the region’s many financial crises. His contributions were characterized by a rare capacity to weave together history and theory, abstract economic theory and complex Latin American sociopolitical life. In this way, he avoided the sterility of pure formalistic theory that characterized so much of the economics of his own generation and the next.


Absorption approach to the balance of payments Capital account liberalization Capital controls Current account liberalization Devaluation Díaz-Alejandro, C Economic history Elasticity approach to the balance of payments Export-led growth Hirschman, A.O Import substitution Import-substituting industrialization Inflation International Monetary Fund Kindleberger, C Prebisch, R Redistribution of income 

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  1. Palma, J.G. 2003. The three routes to financial crises. In Rethinking development economics, ed. H.-J. Chang. London: Anthem.Google Scholar
  2. Ranis, G. 1989. Carlos Díaz-Alejandro: An appreciation. In Debt, stabilization and development: Essays in memory of Carlos Díaz-Alejandro, ed. G. Calvo et al. Oxford: Blackwell.Google Scholar
  3. Velasco, A. (ed.). 1988. Trade, development and the world economy: Selected essays of Carlos Díaz-Alejandro. Oxford: Blackwell.Google Scholar

Copyright information

© The Author(s) 2008

Authors and Affiliations

  • José Gabriel Palma
    • 1
  1. 1.