State developmentalism without a developmental state: The public foundations of the "Free market miracle" in Chile

If export orientation is a goal in a sustainable development strategy, this study argues that public interventions at the sectoral level in a variety of markets can produce economic reorientation that pursues international co mparative advantage faster and at lower cost than free market forces can. P ervasive failures in information, credit, input, distribution, and insuranc e markets can render strictly market-based adjustment both slow and costly. Although Chile's export boom and high growth rates have been associated wi th its free market economic policies, this article, based on a comparison o f the fruit, fish, and forestry sectors, contends that new forms of public intervention were crucial catalysts in shaping a sustained export response.