INDUSTRIALIZATION AND THE DISTRIBUTION OF WEALTH IN PERU

In: Studies in comparative international development, Band 3, Heft 3, S. 55-66

Abstract

The early stage of increase in econ inequality as generalized by K. Marx was studied through data on Peru, its industr development & distribution of mean/average per capita income by geographic regions. Both regional & class distribution were examined. It was found that the unequal distribution of wealth increases during the early stage of industr'ization, if 2 assumptions are tenable: (1) that cross-sectional diff'ials can be extrapolated historically; & (2) that intra-elite diff's can be projected onto the entire pop. The isolated Ru regions of Peru are held in their poverty partly by an excessive fractionalization of property. The modern coastal enterprises accumulate large unified holdings as success breeds more growth. This Ru dispersion of property is also the basis for the high level of SM among the landed aristocracy, contrary to a mistaken picture of rigid stability among such groups. Some speculations re the effect of increasing inequality of wealth distribution on Peru's revolutionary potential are offered. It is hyped that revolutionaries tend to be those whose income is rising absolutely, but still falling behind a higher referent group in relative terms. Those at the bottom, even if falling, would be less likely to initiate a radical change due to their traditionally fatalistic, passive outlook. Thus the pol'ay powerful proletariat, the organized workers in the Lima-Callao area, have enjoyed both an absolute & a relative increase in their level of income since 1920. They have had no common cause with either the Indians, whose standard of living may have declined in absolute terms, or the salaried Mc & provincial aristocracy, whose fortunes have declined relatively. Both diff'ial income shifts & group affiliation were relevant to Peru's failure to revolutionize. The 'standard' explanation is rejected as having overemphasized the role of the APRA (full name not given) & neglected Peru's extreme domination by Lima combined with the earnings improvement experienced by the organized Lima proletariat in comparison to other groups. 4 Tables. M. Maxfield.