▁labour . ▁ ▁More ▁recently , ▁Taylor ▁( 1 9 9 2 ) ▁pointed ▁that ▁the ▁relatively ▁high ▁dependency ▁ratio ▁and ▁the ▁slow ▁dem ographic ▁transition ▁in ▁Argentina ▁led ▁to ▁a ▁reli ance ▁on ▁foreign ▁capital ▁to ▁offset ▁the ▁resulting ▁low ▁sav ings ▁rate . ▁From ▁the ▁ 1 9 3 0 s ▁on wards , ▁the ▁accum ulation ▁of ▁capital ▁was ▁ham per ed ▁by ▁the ▁relatively ▁high ▁prices ▁of ▁( most ly ▁imported ) ▁capital ▁goods , ▁which ▁was ▁caused ▁by ▁the ▁industrial ▁policy ▁of ▁import ▁substitution , ▁in ▁contrast ▁with ▁the ▁export - led ▁growth ▁fav oured ▁by ▁Canada . ▁Other ▁dist ort ing ▁factors ▁behind ▁the ▁high ▁relative ▁prices ▁of ▁capital ▁goods ▁include ▁the ▁multiple ▁exchange ▁rates , ▁the ▁black ▁market ▁for ▁foreign ▁curr encies , ▁the ▁dep reci ation ▁of ▁the ▁national ▁currency ▁and ▁high ▁custom s ▁tar iffs . ▁This ▁resulted ▁in ▁a ▁lower ▁capital ▁intensity , ▁which ▁led ▁to ▁lower ▁rates ▁of ▁labour ▁product ivity . ▁ ▁The ▁ult imate ▁cause ▁of ▁Argentina ' s ▁historical ▁back ward ness ▁appears ▁to ▁be ▁its ▁institution al ▁framework . ▁ ▁See ▁also ▁▁ ▁British ▁invest ment ▁in ▁Argentina ▁ ▁Notes ▁ ▁References ▁▁ ▁Di ▁T ella , ▁Gu ido . ▁The ▁political ▁economy ▁of ▁Argentina , ▁ 1 9 4 6 - 8 3 ▁( U ▁of ▁Pitts burgh ▁Press , ▁ 1 9 8 9 ) ▁ ▁Dí az - A lej andro , ▁Carlos ▁Feder ico . ▁Ess ays ▁on ▁the ▁economic ▁history ▁of ▁the ▁Argent