High-Tech Import Substitution: Brazil's Computer Policy and the Possibilities for Social Transformation

Information for this article was collected during fieldwork in Brazil in 1985. Martin David Dale , “The Computer Industry” in The Structure of American Industry fifth edition: (NY: Macmillan, 1977), pp. 285–312; Moskowitz Milton (editors), Everybody's Business (NY: Harper and Row, 1980), pp. 429–447; and Cadernos do Terceiro Mundo, Vol. 68, No. 7, July 1984, pp. 22–37.

Terceiro Mundo (TM) p. 29; and Juan Rada, “Information Technology and the Third World,” in Tom Forester (editor), The Information Technology Revolution (MA: MIT, 1985), pp. 571–589.

TM p. 29; Willy Brandt, North-South (London: Pan Books, 1980), Chapter 12; Kempe Hope, “Basic Needs and Technology Transfer Issues in the ‘New International Economic Order’,” American Journal of Econ. and Sociology, Vol. 42, No. 4, October 1983, pp. 393–403; Katherin Marton, Multinationals, Technology and Industrialization MA: Heath, 1986), Chapter 9 on Brazil, Chapters 2, 7; W. A. Ndongko and S. O. Anyang, “The Concept of Appropriate Technology,” Monthly Review, February 1981, pp. 35–43; and Freire Paulo , Multinacionais e Trabalhadores no Brasil (SP: Brasiliense, 1981).

From Estado de Sāo Paulo (ESP) 2-8-84, Jornal do Brasil (JB) 15-4-84, quote compounded from these sources. In general see Peter Flynn, Brazil: A Political Analysis (Boulder: Westview, 1978), pp. 15–160, re Petrobras and passim. The best account of the transition is Maria Helena Moreira Alves, Estado e Oposiçāo no Brasil 1964–1984 (Petropolis: Vozes, 1984). Also in English published by University of Texas Press. On the military and intelligence apparatus see Rene Dreyfus, 1964; A Conquista do Estado (Petropolis: Vozes, 1981); Ana Lagoa, O SNI (SP; Brasiliense, 1983), p. 41. On computers, Anon, Brasil Nunca Mais (Petropolis: Vozes, 1985), the Catholic Church report on human rights violations.

JB 4-11-81; Paulo Sergio Wrobel, “Politica Nacional de Informática: O desafio esta lançado,” Carta da Analyse des Relaçōes Internacionais; PUC-RJ, “Software a Caipira.” Senhor, 29-2-84; p. 5–9; ESP, 4-4-84; JB, 18-11-84; Correio Brasiliense, 16-9-84; ESP, 30-10-84; Gazeta Mercantil, 30-10-84; Folha do Sāo Paulo (FSP), 26-6-85; Gaz Merc, 7-5-85; FSP, 17-7-85. For the bureaucratic politics involved in the decision see Emmanuel Adler, “Ideological ‘Guerillas’ and the quest for technological autonomy: Brazil's domestic computer industry,” International Organization, Vol. 40, No. 3, Summer 1986, pp. 673–705; and Silvia Helena, “A industria de computadores: evoluçāo deçisōes governamentais,” in 14.4 Revista da Administraçāo Publica, Vol. 14, No. 4, October 1980, pp. 73–109.

Text of law in FSP, 4-10-84.

Senhor, 9-2-84; and op cit Wrobel, “Politica.”.

Statistics compiled from Mammana Claudio Fregni Edson , “Brasil: A Reserva de Mercado,” TM, pp. 38–46; and Fabio Stefano Erber, “The Development of the Electronics Complex and Government Policies in Brazil,” World Development, Vol. 13, No. 3, 1985, pp. 293–309, and his “Science and Technology Policy in Brazil: A Review of the Literature,” Latin America Research Review; Francisco Sercovich, “Brazil,” World Development, Vol. 12, No. 5/6, 1984; pp. 575–599, Morris Teubal, “The Role of Technological Learning in the Export of Manufactured Goods: the Case of Selected Capital Goods in Brazil,” World Development, Vol. 12, No. 8, 1984, pp. 849–865; Luc Soete, “International Diffusion of Technology, Industrial Development and Technological Leapfrogging,” World Development, Vol. 13, No. 3, 1985, pp. 409–422; Visāo: Quem é Quem na Economia Brasileira: 1984, 35a, August 1984. Also Revista Brasiliera de Tecnologia, Vol. 15, Nos. 1, 3, 4, 1984, for valuable discussions on the social impact of technology. And the technical manuals, CP-500 Microcomputador Operaçāo e Linguagem Basic, fifth edition (SP: Editele, 1985), DOS-500 (SP: Editele, 1985).

Fregni , ESP 23-6-84.

Retranslated into English from Portuguese, TM, p. 139; Fregni, Senhor, 29-2-84, p. 6; Raymond Vernon, “The Product Cycle Model,” pp. 108–118 in George Modelski (editor), Transnational Corporations and World Order (San Francisco: W. H. Freeman, 1979). Regarding the international campaign of US pressure utilizing MNCs, the IMF, GATT, and Brazilian clients, see Jornal do Pais, 22-04-84, 14-5-84; Gazeta Mercantil, 9-3-83; O Globo, 26-9-85; JB, 25-8-85; and ESP, 5-3-85.

Isto É, 27-10-82, p. 79.

Erber , “Science,” pp. 5, 11.

FSP, 23-6-82. On the history of US protectionism see Rogerio Leite, FSP, 6-8-84; and Isto É, 27-10-82.

Diaz Ezequiel , TM, pp. 47–48.

Veja, 16-6-86, p. 102.

Veja, loc cit, Erber , “Science,” pp. 30–40 on military concern for science being largely self-serving and cosmetic.

Erber , “Development,” p. 304; and “Science,” p. 12.

Erber , “Development,” pp. 303–304; Veja, 16-6-86, pp. 100-101; ESP, 14-9-80, 2-8-84; JB, 5-8-84, 15-4-84, 4-11-84, 18-8-85; FSP, 23-6-84, 6-8-84; Gazeta Mercantil, 30-4-83; Le Monde, 13-1-85; New York Times, 29-4-84; Isto É, 27-10-82; Senhor, 29-2-84; were sources from which the debate was drawn. Paulo Bastor Tigre's valuable Technology and Competition in the Brazilian Computer Industry (London: F. Pinter, 1983) was unfortunately unavailable to me at the time of writing. On future technological changes see F. David Peat Artificial Intelligence (NY: Simon and Schuster, 1985). On the stages of import substitution see Fernando Henrique Cardoso and Enzo Faletto, Dependency and Development in Latin America (LA: U.C. Press, 1971), Chapters 5, 6; and Celso Furtado, The Economic Development of Latin America, second edition (London: Cambridge, 1976), Chapter 4. See for industry sector contrast, John Humphrey, Capital Control and Workers Struggle in the Brazilian Auto Industry (NJ: Princeton, 1982); Nathaniel H. Leff, The Brazilian Capital Goods Industry 1929–1964 (MA: Harvard, 1968); and Ricardo Bueno, A Farsa do Petroleo (Petropolis: Vozes, 1984).

The following discussion of the Asian model was based on: Rushing Francis W. Brown Carole Ganz (editors), National Policies for Developing High Technology Industries (Boulder, CO: Westview, 1986); various country studies on Brazil, Mexico, and the Asian NICs; op cit Marton, chapters on Japan, Korea, Taiwan; Richard E. Barrett, Thomas B. Gold, State and Society in the Taiwan Miracle (Armonk, NY: M. E. Sharpe, 1986); Shirley W. Y. Kuo, The Taiwan Economy in Transition (Boulder, CO: Westview, 1983); Martin King Whyte, “Dependency Theory and Taiwan: Analysis of a Deviant Case,” American Journal of Sociology, Vol. 87, No. 5, pp. 1064–1089; Sam Wong, “The Taiwanese ‘Economic Miracle’,” Monthly Review, April 1982, pp. 30–40; Chen-shen J. Yen, “Consequences of Socioeconomic Development in South Korea, Singapore and Taiwan: Democracy or a Continuation of Authoritarianism?,” Midwest International Studies Conference, November 7 1986; Frederic Deyo, “Export Manufacturing and Labor: The Asian Case,” in Charles Bergquist (editor) Labor in the Capitalist Economy (Beverly Hills, CA: Sage, 1984), pp. 267–288; Herb Feith, “Repressive Developmental Regimes in Asia,” Alternatives, Vol. 7, No. 4, pp. 491–506, 1982; Andrew Turner, “Asia plugs into the Computer,” Far Eastern Economic Review, July 21 1983, pp. 59–66; Andrew Rowley, Carl Goldstein, “In the Wealth Trap,” Far Eastern Economic Review, 15 May 1986, pp. 80–85; Suraj Mal Agarwal, “Electronics in India: Past Strategies and Future Possibilities,” Vol. 13, No. 3, World Development, 1985, pp. 273–292; and David C. O'Connor, “The Computer Industry in the Third World: Policy Options and Constraints,” World Development, Vol. 13, No. 3, 1985, pp. 311–332.

TM, loc cit..

The following discussion of Mexico is based on: interviews with IBM de Mexico employee; op cit, Marton, Chapter 12; Mehdi Salehizadeh and Jorge Garza-Adame, “Mexican Protectionist Policies and their Implications for the Computer Industry,” Inter-American Economic Affairs, Vol. 38, No. 1, Summer 1984, pp. 85–101; Carl J. Dahlman, Mariluz Cortez, “Mexico,” in World Development, Vol. 12, No. 5/6, 1984, pp. 601–624; Issac Minian (editor), Industrias Nuevas y Estrategias de Desarrollo en America Latina (Mexico: CIDE, 1986); Jesus Tamayo and Jose Luis Fernandez, Zonas Fronterizas-Mexico-Estados Unidos (Mexico: CIDE, 1983); and Ana Karina Galve Salgado, El Problema de la Deuda Externa en Mexico en el Marco de la Crisis Actual de 1970–1984 (Mexico: UNAM, 1985) for overall political economy.