CULTURAL TIES AND TRADE: SPAIN'S ROLE IN LATIN AMERICA*

Abstract

SUMMARYColonial rule reflects itself in disproportionately strong trade ties between the colonies and their mother country. The example of the old British Dominions is sometimes cited to suggest that this is the result of cultural and linguistic ties rather than of colonialist exploitation. To evaluate the effect of such cultural ties on trade we examine the trade share held by Spain in the Spanish‐speaking countries of Latin America. It is shown that in the early 1960s no effects of cul‐tural ties were visible. They had however, become apparent by the beginning of the following decade, in the wake of Spain's rapid industrial growth. Thus while cultural ties are conducive to trade, they are by no means a sufficient condition for it.