Economic development and colonial culture: has Spanish culture slowed economic growth in Latin America

Abstract

The empirical literature on economic growth has shown that political instability has a negative effect on economic development and growth. While this in itself is an interesting empirical phenomenon, it leaves unanswered the question as to why some countries are more prone to instability than others. This paper seeks to answer why some countries have fared better than others within the Latin American region. The development literature has often pointed to the Spanish legacy as one of the main culprits behind Latin America's failure to develop as quickly as the United States and Canada. This paper looks to see whether the Spanish legacy has affected development within Latin America as well, not just in comparison to her northern neighbors.