Foreign Trade and Income Convergence in Latin America

This paper explores the variation in inequality as a measure of convergence or divergence per capita income. It is proposed to decompose this into different selected categories foreign trade, especially due technological intensity and intraregional interregional trade. The first category selection helps understand how stages development trade are associated with income between nations. second perception shows whether regional integration actions have had any effect on region’s convergence. As result, there evidence absolute for sample Latin American countries territories 1995–2017 period. was order 16.7% became more intense after 2004; however, it decelerated most recent period which characterized by phase lower growth. important participation determining asymmetries America confirmed significant sense reducing inequality.