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Globalization and Multipliers in the Pacific Alliance Countries: Cases of Peru, Chile and Colombia

Primary objectives of this work are to discuss the relationship between the level of globalization, the tendencies of import coefficients, and the value of income multipliers in emerging countries in general. The analysis is made via three case studies from The Pacific Alliance countries: Colombia, Peru, and Chile. Statistical results confirm our initial hypothesis of an inverse relationship between globalization and the value of income multipliers. The methodology for calculation of income multipliers is based on the input-output tables of each country for the corresponding years of the analysis.