Hostname: page-component-848d4c4894-p2v8j Total loading time: 0 Render date: 2024-06-09T11:41:30.193Z Has data issue: false hasContentIssue false

Macropolitical consensus and lateral autonomy in industrial policy: the nuclear sector in Brazil and Argentina

Published online by Cambridge University Press:  22 May 2009

Etel Solingen
Affiliation:
Assistant Professor of Political Science at theUniversity of California, Irvine.
Get access

Abstract

Levels of macropolitical consensus and sectoral institutional autonomy both influence industrial policy. Different combinations of high or low consensus and autonomy help anticipate the respective explanatory relevance of generic industrial models, sectoral agencies' trajectories, and bureaucratic politics. Industrial policy choices thus are not always determined by international market opportunities, relevant domestic endowments, or the political strength of industrial entrepreneurs. The nuclear sectors in Brazil and Argentina are examined in light of this argument. A relatively strong consensus over the generic industrial model and a centralized decision-making process explain state entrepreneurship and foreign technology in Brazil. In contrast, Argentina's emphasis on domestic private entrepreneurial and technical resources can be traced to an absence of macropolitical consensus and to sectoral institutional autonomy. These differences had implications for the process of bargaining with foreign technology suppliers. Levels of consensus and autonomy influence the process of bargaining with foreign technology suppliers through their impact on the size of domestic win-sets, on risks of involuntary defection, on credibility of commitments, and on reduction of uncertainties.

Type
Articles
Copyright
Copyright © The IO Foundation 1993

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Research for this article was supported by the University of California's Institute on Global Conflict and Cooperation. I benefited from the incisive comments of Harry Eckstein, Jeff Frieden, Russ Dalton, Manuel Garcia y Griego, Joshua Goldstein, Bernie Grofman, Rober t R. Kaufman, James Kurth, Patrick Morgan, Michael Shafer, Dorie Solinger, Christian Werner, an anonymous reviewer, and the editor of International Organization.

1. Samuels, Richard J., The Business of the Japanese State—Energy Markets in Comparative and Historical Perspective (Ithaca, N.Y.: Cornell University Press, 1987)Google Scholar.

2. Przeworski, Adam and Tune, Henry, The Logic of Comparative Social Inquiry (Malabar Fla.: Krieger, 1970)Google Scholar.

3. For an elaboration on differences in domestic research and development (R&D) efforts, see Solingen, Etel, “Bargaining in Technology,” Department of Politics and Society, School of Social Sciences, University of California, Irvine, 1992Google Scholar.

4. Patterns range from active inducement of private firms in India, South Korea, Spain, and the United States, and market-conforming behavior in the United Kingdom and West Germany, to an arguably displacing role in Canada, France, and Italy. See Scheinman, Lawrence, “Security and a Transnational System: The Case of Nuclear Energy,” in Keohane, Robert O. and Nye, Joseph S., eds., Transnational Relations and World Politics (Cambridge, Mass.:Harvard University Press, 1972), pp.276300Google Scholar; Kitschelt, Herbert, “Structures and Sequences of Nuclear Energy Policymaking: Suggestions for a Comparative Perspective,” Political Power and Social Theory 3 (1982), pp. 271308Google Scholar; and Campbell, John L., Collapse of an Industry: Nuclear Power and the Contradictions of U.S. Policy (Ithaca, N.Y.:Cornell University Press, 1988)Google Scholar.

5. On critical case studies, see Eckstein, Harry, “Case Study and Theory in Political Science,” in Greenstein, Fred and Polsby, Nelson, eds., Handbook of Political Science, vol.7 (Reading, Mass.: Addison-Wesley, 1975), pp.79138Google Scholar.

6. Putnam, Robert D.,“Diplomacy and Domestic Politics: The Logic of Two-level Games,” International Organization 42 (Summer 1988), pp. 427–60CrossRefGoogle Scholar.

7. Most of these components are part of the nuclear system (as opposed to the conventional portions of a reactor) and require, therefore, more sophisticated capabilities.

8. See Instituto de Planejamento Economico e Social (IPEA), Engineering and Consulting in Brazil and in the Andean Group Engenharia e Consultoria no Brasil e no Gmpo Andino, Serie Estudos para o Planejamento, no.25 (Brasilia:IPEA 1984)Google Scholar; Marton, Katherine, Multinationals, Technology, and Industrialization (Lexington, Mass.: Lexington Books, 1986)Google Scholar; Rouquie, Alain, The Military and the State in Latin America (Berkeley:University of California Press, 1987), p.291Google Scholar; Rosa, Luiz Pinguelli, ed., Technological and Economic Impacts of the Brazilian Nuclear Program (Rio de Janeiro:COPPE/UFRJ [Coordenação dos Programas de Pos-Graduação de Engenharia da Universidade Federal do Rio de Janeiro], 1984)Google Scholar; and Katz, Jorge M., “Domestic Technological Innovations and Dynamic Comparative Advantages: Further Reflections on a Comparative Case-Study Program,” in Rosenberg, Nathan and Frischtak, Claudio, eds., International Technology Transfer: Concepts, Measures, and Comparisons (New York: Praeger, 1985), pp.127–65Google Scholar.

9. The study was performed by Bechtel in 1973 for the Brazilian Nuclear Technology Corporation, a predecessor of NUCLEBRAS. See Senate, Federal of Brazil, Relatóio de Comissaāo Parlamentar de Inquerito do Senado Federal sobre o Acordo Nuclear do Brasil com a Republica Federal da Alemanha (Transcript of the Parliamentary Investigating Committee of the Federal Senate Regarding the Nuclear Agreements Between Brazil and the Federal Republic of Germany, hereafter cited as Relatorio), vol.6, book 5 (Brasilia: Senado Federal, 1984), p.210Google Scholar.

10. Only the steam generator, the reactor core, the reactor vessel, and the pressurizer could not have been produced by domestic private firms, according to a congressional deposition by industrialist Claudio Bardella in Federal Senate of Brazil, RelatÓorio, vol. 6, book 5, p. 223. On capabilities in the engineering area see Muller, A. E., Gasparian, A. E., and Filho, H. J. Calvet, “Aspects of Consolidation of Engineering Power Plants,” manuscript, Montevideo, Uruguay, 05 1980Google Scholar; and interview with a former director of NUCLEBRAS Engineering (NUCLEN) in O Estado de Sāao Paulo, 6/7/1985, and deposition by industrialist Ramon Villares in Federal Senate of Brazil, Relatorióo, vol. 6, book 5, p. 300.

11. Tanis, Sara, Desarrollo de Proved ores para la Industria Nuclear Argentina (Buenos Aires: Comisioón Nacional de Energíia Atóomica, 1985)Google Scholar.

12. On state subsidiarity in Latin America, see Stepan, Alfred, The Stale and Society: Peru in Comparative Perspective(Princeton, N.J.:Princeton University Press, 1978)Google Scholar; and Rouquie, Alain, Poder Military Sociedad Politico en la Argentina—1943–1973 (Military Power and Political Society in Argentina—1943–1973)(Buenos Aires:Emece, 1982)Google Scholar.

13. On market failure and public enterprises, see Feigenbaum, Harvey B., The Politics of Public Enterprise: Oil and the French State (Princeton, N.J.: Princeton University Press, 1985)CrossRefGoogle Scholar.

14. CNEA approached the negotiations with foreign suppliers by providing a list of all local private firms capable of participating and insisted that each be included.

15. See Evans, Peter, Dependent Development: The Alliance of Multinational, State, and Local Capital in Brazil (Princeton, N.J.:Princeton University Press, 1979); Samuels, The Business of the Japanese State; and Feigenbaum, The Politics of Public EnterpriseGoogle Scholar.

16. On nuclear exports see Solingen, Etel, “Technology, Countertrade, and Nuclear Exports,” in Potter, W. C., ed., International Nuclear Trade: The Challenge of the Emerging Suppliers (Lexington, Mass.:Lexington Books, 1990), pp.111–52Google Scholar.

17. Walker, William and Lonnroth, M., Nuclear Power Struggles—Industrial Competition and Proliferation Control (London:Allen & Unwin, 1983)Google Scholar.

18. Samuels, The Business of the Japanese State.

19. For an analysis of the sector's political power and access to state bureaucracies, see Evans, Dependent Development; and Cardoso, Fernando H., “On the Characterization of Authoritarian Regimes in Latin America,” in Collier, David, ed., The New Authoritarianism in Latin America (Princeton, N.J.: Princeton University Press, 1979), pp.3360Google Scholar.

20. If only the economic component is taken into account, state A is presumably more powerful than state B if A commands a greater share of global trade and credit than B and is less dependent than B on the global economy (as measured by the size of its external sector relative to gross national product). See Krasner, Stephen D., “State Power and the Structure of International Trade,” World Politics 28 (04 1976), pp.317–47CrossRefGoogle Scholar. For an analysis of Brazil's and Argentina's structural power see Mares, David, “Middle Powers Under Regional Hegemony: To Challenge or Acquiesce in Hegemonic Enforcement,” International Studies Quarterly 32 (12 1988), pp. 453–72CrossRefGoogle Scholar.

21. Inter-American Development Bank, “Economic and Social Progress in Latin America,” (Washington, D.C.:Inter-American Development Bank, 1988)Google Scholar. On the measurement of Argentine decline see Smith, William C., Authoritarianism and the Crisis of the Argentine Political Economy (Stanford, Calif.: Stanford University Press, 1989)Google Scholar.

22. For two applications of this brand of theory to industrial policy in Argentina and Brazil see Adler, Emanuel, The Power of Ideology: The Quest for Technological Autonomy in Argentina, and brazil, (Berkeley: University of California Press, 1987)Google Scholar; and KathrynSikkink, , Ideas and Institutions— Developmentalism in Brazil, and Argentina, (Ithaca, N.Y.:Cornell University Press, 1991)Google Scholar. Adler focuses mainly on informatics and traces outcomes (policy regarding foreign investment) to the ideology of self-reliance of technocrats. For a more moderate understanding of the independent power of ideas on political outcomes (studies that internalize the domestic and international context in which ideas can make a difference), see Odell, John S., U.S. International Monetary Policy-Markets, Power, and Ideas as Sources of Change (Princeton, N.J.: Princeton University Press, 1982)Google Scholar; Ruggie, John Gerard, “International Regimes, Transactions, and Change: Embedded Liberalism in the Postwar Economic Order,” International Organization 36 (Spring 1982), pp.379415; Feigenbaum, The Politics of Public Enterprise; and Sikkink, Ideas and InstitutionsCrossRefGoogle Scholar.

23. In his analysis of informatics in Brazil, Evans points out that the power of the technocrats— who shared a certain nationalistic ideology—should not be exaggerated, and that the governing agency's policies “were shaped by more than its personnel.” See Evans, Peter B., “State, Capital, and the Transformation of Dependence: The Brazilian Computer Case,” World Development 14(1986), pp. 791808CrossRefGoogle Scholar.

24. On the utility and limitations of cognitive approaches, see Odell, , U.S. International Monetary Policy; Hall, Peter A., ed., The Political Power of Economic Ideas: Keynesianism Across Nations (Princeton, N.J.: Princeton University Press, 1989)Google Scholar; and, in particular, the following two chapters: Weir, Margaret, “Ideas and Politics: The Acceptance of Keynesianism in Britain and the United States,” pp.5386Google Scholar; and Gourevitch, Peter A., “Keynesian Politics: The Political Sources of Economic Policy,” pp. 87106Google Scholar.

25. In that sense, this study comes close to Grieco's analysis of informatics in India and its emphasis on institutional interests, state autonomy, and state-private sector competition; to Haggard's comprehensive comparison of the politics of growth among NICs; and to Kitschelt's explanation of state intervention in nuclear industries in industrialized countries. See Grieco, Joseph M., Between Dependency and Autonomy-India's Experience with the International Computer Industry (Los Angeles: University of California Press, 1984)Google Scholar; Haggard, Stephan, Pathways from the Periphery-The Politics of Growth in the Newly Industrializing Countries (Ithaca, N.Y.:Cornell University Press, 1990); and Kitschelt, “Structures and Sequences of Nuclear Energy Policy-making”Google Scholar.

26. Krasner highlights the influence of institutions and procedures on policy outcomes. Ikenberry, Lake, and Mastanduno emphasize the influence of organizational features of the state—which are relatively resilient against the idiosyncratic actions of groups and individuals—on state preferences. See Krasner, Stephen D., Defending the National Interest: Raw Materials Investments and U.S. Foreign Policy (Princeton, N.J.: Princeton University Press, 1978); and John, G.Ikenberry, , Lake, David A., and Mastanduno, Michael, eds., The State and American Foreign Economic Policy (Ithaca, N.Y.:Cornell University Press, 1988)Google Scholar.

27. See Barzelay, Michael, The Politicized Market Economy (Berkeley:University of California Press, 1986)Google Scholar; and Simon, Herbert A., Administrative Behavior (New York: Free Press, 1976)Google Scholar. On the hierarchy and identification of goals and means (objectives and instruments), see Katzenstein, Peter J., “Conclusion: Domestic Structures and Strategies of Foreign Economic Policies,” in Katzenstein, Peter, ed., Between Power and Plenty(Madison: University of Wisconsin Press, 1978), pp.295336Google Scholar.

28. “Preferences” articulate primarily material, but also ideal, interests. See Gourevitch, Peter A., “Keynesian Politics: The Political Sources of Economic Policy,” in Hall, The Political Power of Economic Ideas, pp.87106Google Scholar.

29. I thank John Odell for clarifying my thinking on this point.

30. On “historic blocs,” see Cox, Robert W., Productions, Power, and World Order-Social Forces in the Making of History (New York: Columbia University Press, 1987)Google Scholar.

31. On extensiveness and intensity of political divisions, see Eckstein, Harry, Division and Cohesion in Democracy: A Study of Norway (Princeton, N.J.:Princeton University Press, 1966)Google Scholar.

32. See, for instance, Katzenstein's comparison among Britain, France, Japan, the United States, and West Germany in Katzenstein, “Conclusion.” For an analysis of the coherence of Macropolitical goals in France over time, see Milner, Helen, “Resisting the Protectionist Temptation: Industry and the Making of Trade Policy in France and the United States During the 1970s,”International Organization 41 (Autumn 1987), pp. 639–65CrossRefGoogle Scholar.

33. On Japan, see Katzenstein, Between Power and Plenty; Borrus, Michael and Zysman, John, “Japan,” in Rushing, F. W. and Brown, C. G., eds., National Policies for Developing High Technology Industries: International Comparisons (Boulder, Colo.:Westview Press, 1986), pp.111–42Google Scholar; Okimoto, Daniel I., Between MITI and the Market: Japanese Industrial Policy for High Technology (Stanford, Calif.: Stanford University Press, 1989)Google Scholar; and Krauss, Ellis S., “Political Economy: Policymaking and Industrial Policy in Japan,” Political Science and Politics 25 (03 1992), pp.4456CrossRefGoogle Scholar. On the postwar consensus in Germany—low acceptance of inflation, tight money, fiscal frugality—see Vernon, Raymond and Spar, Debora, Beyond Globalism—Remaking American Foreign Economic Policy (New York:Free Press, 1989)Google Scholar. On India's consensus and deviations from it, see Encarnation, Dennis, Dislodging Multinationals: India's Strategy in Comparative Perspective (Ithaca, N.Y.: Cornell University Press, 1989)Google Scholar.

34. A sample of this debate includes Zysman, John and Tyson, Laura, eds., American Industry in International Competition (Ithaca, N.Y.: Cornell University Press, 1983)Google Scholar; Nye, Joseph S. Jr, Bound to Lead: The Changing Nature of American Power (New York: Basic Books, 1990)Google Scholar; Rosecrance, Richard, America's Economic Resurgence—A Bold New Strategy (New York:Harper and Row, 1990)Google Scholar; and Nau, Henry R., The Myth of America's Decline—Leading the World Economy into the 1990s (New York: Oxford University Press, 1990)Google Scholar.

35. Fishlow establishes connections among national security, state autonomy, and the coherent industrial project of East Asian countries. See Fishlow, Albert, “Latin American Failure Against the Backdrop of Asian Success,” Annals of the American Academy of Political and Social Science 505 (09 1989), pp. 117–28Google Scholar. Rueschemeyer and Evans argue that effective state intervention may initially grow out of coherent bureaucracies that are relatively autonomous from dominant social interests. See Evans, Peter, “Transnational Linkages and the Economic Role of the State: An Analysis of Developing and Industrialized Nations in the Post-World War II Period,” in Peter Evans, Rueschemeyer, Dietrich, and Skocpol, Theda, eds., Bringing the Stale Back In (Cambridge: Cambridge University Press, 1985)CrossRefGoogle Scholar.

36. On conflictive objectives and bureaucratic bargaining, see Barzelay, The Politicized Market Economy; and Bendor, Jonathan and Hammond, T. H., “Rethinking Allison's Models,” American Political Science Review 86 (Winter 1992), pp. 301–22CrossRefGoogle Scholar.

37. The principle that “goal ambiguity” reduces central influence comes from organization theory. See Cyert, R. M. and March, J. G., A Behavioral Theory of the Firm (Englewood Cliffs, N.J.: Prentice Hall, 1963)Google Scholar; and Downs, Anthony, Inside Bureaucracy (Boston: Little, Brown, 1967)CrossRefGoogle Scholar.

38. On how strong central agencies increase the coherence of sector-specific policies, also see Katzenstein, Between Power and Plenty. On the origins of hegemonic finance ministries as key loci of adjustment of domestic and international policy, see Cox, Robert, “Social Forces, States, and World Orders,” in Keohane, Robert O., ed., Neorealism and Its Critics (New York: Columbia University Press, 1986), pp. 204–54Google Scholar. On the British Treasury, see Weir, Margaret, “Ideas and Politics,” in Hall, The Political Power of Economic Ideas, pp. 5386Google Scholar. On the limits of MITI's hegemony and the growing bureaucratic segmentation in Japan, see Calder, Kent, “Japanese Foreign Economic Policy Formation: Explaining the Reactive State,” World Politics 40 (07 1988), pp. 517–41CrossRefGoogle Scholar.

39. Bennett, Douglas C. and Sharpe, Kenneth E., “Agenda Setting and Bargaining Power: The Mexican State Versus Transnational Automobile Corporation,” World Politics 32 (10 1979), pp. 5788CrossRefGoogle Scholar.

40. Allison, Graham T., Essence of Decision—Explaining the Cuban Missile Crisis (Boston: Little, Brown, 1971) p. 76Google Scholar.

41. Barzelay, The Politicized Market Economy.

42. Wilson, James Q., Bureaucracy—What Government Agencies Do and Why They Do It (New York: Basic Books, 1989)Google Scholar.

43. Tullock, Gordon, The Politics of Bureaucracy (Washington, D.C.: Public Affairs Press, 1965)Google Scholar.

44. Schwartzman's study of computers in Brazil, for instance, refers to “bureaucratic insulation” as autonomy from both state and outside clientelistic pressures. See Schwartzman, Simon, “High Technology Versus Self-reliance: Brazil Enters the Computer Age,” in Chacel, Julian M., Falk, P. S., and Fleischer, D., eds., Brazil's Economic and Political Future (Boulder, Colo.: Westview Press, 1988)Google Scholar.

45. Barzelay, uses the term “segmentation” to identify a decision-making arena wherein authority over the same political product is diffused among numerous collegial state agencies (see Barzelay, The Politicized Market Economy). The literal opposite of autonomy is “heteronomy” (subordination); however, perhaps the best logical opposite of the term in this context would by “synonomy” (together with)—a nonexistent word. I forgo the temptation to use that term and adopt the less specific, but more widely used, concept of segmentation.

46. Encarnation, Dennis J. and Wells, Louis T. Jr, “Sovereignty En Garde: Negotiating with Foreign Investors,” International Organization 39 (Winter 1985), pp. 4778CrossRefGoogle Scholar.

47. On China, see Lewis, John W., Di, H., and Litai, X., “Beijing's Defense Establishment: Solving the Arms-Export Enigma,” International Security 15 (Spring 1991), pp. 87109CrossRefGoogle Scholar. On Israel, see Ma'ariv, 28 June 1992.

48. See Niskanen, William A. Jr,. Bureaucracy and Representative Government (Chicago: Aldine-Atherton, 1971), p. 196, for a discussion of how U.S. agencies holding monopolies on the supply of certain public services have weakened executive control over those programsGoogle Scholar.

49. See Katzenstein, Between Power and Plenty; John Zysman, “The French State in the International Economy,” in Katzenstein, Between Power and Plenty, pp. 255–94; Samuels, The Business of the Japanese State; Campbell, Collapse of an Industry; and Ikenberry, Lake, and Mastanduno, The State and American Foreign Economic PolicyGoogle Scholar.

50. On CNEA's control over the nuclear program and the inability of other agencies, including the Foreign Ministry, to influence nuclear policy, see La Prensa, 22 March 1984, p. 7.

51. Kennedy, Paul, The Rise and Fall of the Great Powers (New York: Random House, 1987), p. 350Google Scholar. Calder, in “Japanese Foreign Economic Policy Foundation,” discusses the impact of overlapping bureaucratic jurisdictions on Japan's foreign policy in high-tech areas, which he characterizes as erratic and reactive. On the centrifugal tendencies of state agencies, see Migdal, Joel, Strong Societies and Weak States (Princeton, N.J.: Princeton University Press, 1988)Google Scholar. The idiosyncratic characteristics of an agency relate to what Halperin labels “organizational essence”; see Halperin, Morton, Bureaucratic Politics and Foreign Policy (Washington, D.C.: Brookings Institution, 1974). On the consequences of a highly segmented policy process in the French oil sector, see Feigenbaum, The Politics of Public EnterpriseGoogle Scholar.

52. State autonomy does not preclude a high convergence of interests among state and private interests. It is a highly contingent or historically specific phenomenon rather than an absolute condition and can vary across countries and periods. See Onis, Ziya, “The Logic of the Developmental State,” Comparative Politics 24 (10 1991), pp. 109–26CrossRefGoogle Scholar. On state autonomy in Brazil, see Schmitter, Philippe C., Military Rule in Latin America: Function, Consequences, and Perspectives (Beverly Hills, Calif.: Sage, 1973); and Alfred Stepan, “State Power and the Strength of Civil Society in the Southern Cone of Latin America,” in Evans, , Rueschemeyer, , and Skocpol, , Bringing the State Back In, pp.317–46Google Scholar.

53. See Evans, Dependent Development; Robert R. Kaufman, “Industrial Change and Authoritarian Rule in Latin America: A Concrete Review of the Bureaucratic-Authoritarian Model,” in Collier, , The New Authoritarianism in Latin America, pp. 165254Google Scholar; Haggard, Pathways from the Periphery; and Frieden, Jeffry A., Debt, Development, and Democracy—Modern Political Economy and Latin America, 1965–1985(Princeton, N.J.: Princeton University Press, 1991)Google Scholar.

54. Barros supports the general claim that overall state-led economic growth took priority over strengthening the private sector. See Barros, Alexander S. C., “The Brazilian Military: Professional Socialization, Political Performance, and State Building,” Ph.D. dissertation, The University of Chicago, 1978Google Scholar. The number of state enterprises increased from eighty-one in 1959 to 251 in 1980, particularly in high-technology infra structural sectors such as electricity, gas, oil, telecommunications, iron ore, shipping, and steel. See Trebat, Thomas J., Brazil's State-owned Enterprises—A Case Study of the State as Entrepreneur (Cambridge: Cambridge University Press, 1983). The more specific contention that decision makers regarded fast implementation of a nuclear program as far more critical than maximizing private-sector supplies is clear from a letter by NUCLEBRÁAS's director, Paulo N. Batista, to the firm Bardella, urging Bardella to make an immediate decision about their participation. See Federal Senate of Brazil, vol. 6, book 5, Relatóorio p. 246CrossRefGoogle Scholar.

55. On the potential role of nuclear energy in the steel sector, see Soares, Guido, “O Acordo de Cooperaçcāao Nuclear Brasil-Alemanha Federal” (The Brazilian-Federal Republic of Germany Agreement on Nuclear Cooperation), Revista Forense 253 (01, February, March 1976), pp.207–32)Google Scholar. On the country's energy balance, see Solingen, Etel, “Domestic Adjustment and International Response,” in Ramberg, Bennett and Thomas, R., eds., Energy and Security in the Industrializing World (Lexington: University Press of Kentucky, 1990), pp. 123–52Google Scholar.

56. See the inquiry by a parliamentary committee in Federal Senate of Brazil, RelatÓorio, vol. 3, p. 103. On the bureaucratic segmentation of nuclear policy in Brazil, see Soares, “O Acordo de Cooperaçcaão Nuclear Brasil-AIemanha Federal.”

57. On the hegemonic position of the Ministry of Finance within the bureaucracy between 1967 and 1974, with the ascendancy of Delfim Neto as Finance Minister, see Kaufman, “Industrial Change and Authoritarian Rule in Latin America.” On the powerful Ministry of Planning and its responsibility to plan Brazil's economic affairs synoptically, see Barzelay, The Politicized Market Economy. On the constraining role of central economic agencies over sectoral programs during that period, see Abranches, Sergio, “The Divided Leviathan: State and Economic Policy Formation in Authoritarian Brazil,” Ph.D. diss.; Cornell University, 1978Google Scholar; and Schneider, Ben Ross III, “Politics Within the State: Elite Bureaucrats and Industrial Policy in Authoritarian Brazil,” Ph.D. diss., University of California, Berkeley, 1987. On the centralization of economic policymaking in Brazil between the late 1960s and the mid-1970s, see Schmitter, Military Rule in Latin America; Barros, The Brazilian Military; and Evans, Dependent DevelopmentGoogle Scholar.

58. See the statement by Minister of Mines and Energy Shigeaki Ueki, in Manchete, 24 04 1976, pp. 7597Google Scholar.

59. See the statement by former NUCLEBRÁAS director Batista, Paulo Nogueira in O Estado de Sao Paulo, 19 10 1983Google Scholar.

60. See Cavarozzi, Marcelo, “Political Cycles in Argentina since 1955”, in O'Donnell, Guillermo, Schmitter, Philippe, and Whitehead, Laurence, eds., Transitions from Authoritarian Rule—Latin America (Baltimore, Md.: Johns Hopkins University Press, 1986), pp. 1948Google Scholar. Waisman, Carlos, Reversal of Development in Argentina (Princeton, N.J.: Princeton University Press, 1987)CrossRefGoogle Scholar;Stepan, Alfred, Rethinking Military Politics—Brazil and Southern Cone (Princeton, N.J.: Princeton University Press, 1988)Google Scholar; Rock, David, “Political Movements in Argentina: A Sketch from Past and Present,” in Peralta-Ramos, M. and Waisman, Carlos H., eds., From Military Rule to Liberal Democracy in Argentina(Boulder1, Colo.; Westview Press, 1987), pp. 320Google Scholar; Lewis, Paul H., The Crisis of Argentine Capitalism (Chapel Hill: The University of North Carolina Press, 1990); and Sikkink, Ideas and InstitutionsGoogle Scholar.

61. See O'Donnell, Guillermo, Estadoy Alianzas en la Argentina, 1956–76 (State and Alliances in Argentina, 19561976)Google Scholar, Estudios Centro de Estudios de Estado y Sociedad (CEDES), no. 5 (Buenos Aires: CEDES, 1976); Sabato, Jorge F. and Schvarzer, Jorge, Funcionamento de la Economiay Poder Politico en la Argentina: Trabaspara la Democracia (The Economy and Political Power in Argentina: Barriers to Democracy)(Buenos Aires: Centro de Investigaciones Sociales sobre el Estado y la Administratióon, 1983); Rouquie, The Military and the State in Latin America; Smith, Authoritarianism and the Crisis of the Argentine Political Economy; and Frieden, Debt, Development, and DemocracyGoogle Scholar.

62. These contradictions are evident from statements, open letters, and annual reports by the agroexporter association Sociedad Rural, the Unióon Industrial Argentina, and the Argentina Chamber of Commerce. See Smith, , Authoritarianism and the Crisis of the Argentine Political Economy, pp. 8490Google Scholar.

63. On failed efforts by Minister of the Economy Martíinez de Hoz to control sectoral deviances, see Schvarzer, Jorge, Martinez de Hoz: La Lóogica Políitico de la Políitico Econóomica (Martinez de Hoz: The Political Logic of Economic Policy) (Buenos Aires: Centra de Investigaciones Sociales sobre el Estado y la Administratióon, 1983Google Scholar). On balkanisation of the state apparatus, see Smith, , Authoritarianism and the Crisis of the Argentine Political Economy, p. 176Google Scholar.

64. Potash, Robert, The Army and Politics in Argentina 1945–1962: Peron to Frondizi (Stanford, Calif.: Stanford University Press, 1980)Google Scholar.

65. Rosa, Luiz P., ed., Energia, , Tecnologia e Desenvolvimento: A Quesldo Nuclear (Energy, Technology, and Development: The Nuclear Question)(Rio de Janeiro: Vozes, 1978)Google Scholar.

66. Wynia, Gary W., Argentina: Illusions and Realities (New York: Holmes and Meier, 1986)Google Scholar.

67. See Rouquie, Poder Military y Sociedad Politico en la Argentina; Lewis, The Crisis of Argentine Capitalism; and Barros, The Brazilian Military, pp. 4348Google Scholar.

68. See Stepan, The State and Society; and Frieden, Debt, Development, and Democracy.

69. . On the external sources of erosion of consensus see Stepan, “State Power and the Strength of Civil Society in the Southern Cone of Latin America”; Barzelay, The Politicized Market Economy; and Evans, Dependent Development.

70. “Primeiro Documento dos Empresáarios” (First Document of the Industrialists), Forum da Cazeta Mercantil, July 1978.

71. These deductions are based on attempted challenges to CNEA along those lines. See Poneman, Daniel, Nuclear Power in the Developing World (London: Allen and Unwin, 1982)Google Scholar.

72. This scenario falls within cell IV in Figure 2.

73. See Putnam, “Diplomacy and Domestic Politics.”

74. On foreign investors' primary concern with the political and administrative stability and the predictability of the host country, see Encarnation and Wells, “Sovereignty En Garde.”

75. See Bennett, Douglas C. and Sharpe, Kenneth E., Transnational Corporations Versus the State: The Political Economy of the Mexican Auto Industry (Princeton, N.J.: Princeton University Press, 1985)CrossRefGoogle Scholar; and Gereffi, Gary, The Pharmaceutical Industry and Dependency in the Third World (Princeton, N.J.: Princeton University Press, 1983)CrossRefGoogle Scholar.

76. Stepan argues that a stronger, cohesive state elite—capable of providing a predictable environment for foreign capital—enjoys a better bargaining position. See Stepan, “State Power and the Strength of Civil Society in the Southern Cone of Latin America.”

77. Grieco, Between Dependency and Autonomy.

78. Declarations by KWU officials at the time confirm that they regarded the 30-percent share of supplies by private Brazilian firms and the technological control of joint ventures by German firms as squarely within the domestic win-set; see Nucleonics Week, 31 October 1985, p. 6.

79. On the position of Brazilian negotiators, see declarations in Manchete, 4 April, 1976; Journal do Brasil (7 November 1976); O Estado de Sāao Paulo (19 March 1977); Federal Senate of Brazil, Relatāorio, vol. 6, book 5, p. 302; and O Clobo, 20 June 1975.

80. Negotiators can also be misinformed about levels of bureaucratic autonomy or segmentation. See Encarnation and Wells, “Sovereignty En Garde.”

81. Putnam, , “Diplomacy and Domestic Politics,” p. 447Google Scholar.

82. For a sample of this debate, see Allison, Essence of Decision; Bendor and Hammond, “Rethinking Allison's Models”; and Krasner, Stephen D., “Are Bureaucracies Important? (Or Allison in Wonderland),” Foreign Policy 7 (Summer 1972), pp. 159–79CrossRefGoogle Scholar.

83. On the hypothesis that policy outputs are better predicted by previous outputs than by dominant coalitions, see Wildawsky, Aaron, The Politics of the Budgetary Process (Boston: Little, Brown, 1964)Google Scholar; Neustadt, Richard E., Alliance Politics (New York: Columbia University Press, 1970)Google Scholar; and Axelrod, Robert, “Bureaucratic Decisionmaking in the Military Assistance Program: Some Empirical Findings,” in Halperin, Morton H. and Kanter, A., eds., Reading in American Foreign Policy—A Bureaucratic Perspective (Boston: Little, Brown, 1973), pp. 154–71Google Scholar.

84. Mallon, R. D. and Sorrouille, J. V., Economic Policymaking in a Conflict Society: The Argentine Case (Cambridge, Mass.: Harvard University Press, 1975)CrossRefGoogle Scholar.

85. Evans, “State, Capital, and the Transformation of Dependence.”

86. In Dislodging Multinationals, Encarnation analyzes how widespread that model was in Brazil.

87. On how a more coherent development strategy can moderate the negotiating leverage of an autonomous agency, see Encarnation and Wells, “Sovereignty En Garde.”

88. See Grieco, Between Dependency and Autonomy; and Encarnation, Dislodging Multinationals.

89. New York Times, 18 May 1982.

90. See, for instance, Kennedy, Ellen, The Bundesbank—Germany's Central Bank in the International Monetary System (New York: Council on Foreign Relations Press, 1991)Google Scholar.