The Virus is Spreading
Let me introduce the newest character in what seems to be a tragedy-in-the-making for Latin America. His name is Ollanta Humala, an ex-military colonel who is campaigning for the presidency of Peru on a very similar platform to that of Evo Morales, Kirchner and Hugo Chavez. Not surprisingly and in consistence with the reckless leftist trend in Latin America, Ollanta Humala came in second place in the latest opinion polls, behind by only three points of central-right candidate Lourdes Flores.
Reasons to be very worried:
Ollanta Hulama father, Isaac Humala, was the founder of Peru-based Institute of Ethno-Geopolitical Studies. It would be very naïve and foolish to assume that Isaac had no influence in the ideology of his son. The policies that the Institute advocates are:
- An Autarkic Economy (Autarkic: A policy of national self-sufficiency and nonreliance on imports or economic aid.)
- Stronger State and Military
- Restructuring of Private Pension Funds
- Limits to Debt Services in the Budget
- Renegotiation of contracts to exploit natural resources
Ollanta Humala has expressed admiration for former dictator Juan Velasco Alvarado, who nationalized the oil industry and expropriated lands in a sweeping agrarian reform after the coup that brought him to power in 1968. The same socialist regime that in 1968 immediately expropriated assets of US oil companies and many other sectors of the economy to establish a socialist state to help the poor of Peru. During the twelve years of socialist rule (that Ollanta Humala admires) real income dropped 40% and a country that had been able to feed itself for centuries ended up importing food. The wealth of Peru sharply decreased.
Ollanta Humala is an ex-colonel with military education and training. As Hugo Chavez, he has participated in presidential coups and has been jailed / released. If history has tough us anything, it is that this types of individuals, if elected (or by coup) President, tend limit and revoke the liberties of their citizens and rule their nation with an iron grip for many years in the likes of Alfredo Stroessner, Augusto Pinochet, Hugo Chavez and Fidel Castro.
The elections in Peru are set for April 2006. There will be a battle of ideas between Liberty, Private Property and Free Markets against Socialism, Collectivism and Ignorance. Hopefully, with the help of responsible and intelligent Peruvians and Latin Americans we will prevail.
posted by LA Samayoa at 9:29 AM
5 Comments:
I agree Humala's ascendance doesn't bode well for Peru. In fact, the latest poll puts him neck-and-neck with centre-right candidate Lourdes Flores. For my part, I'm more worried about the influence of his brother Antauro. You can read a piece on the pair at my blog here. Comments are welcome.
Am perplexed, though, at why you bring up Stroessner and Pinochet, since their installation actually facilitated the free market reforms you support. It was precisely the fear of "Socialism, Collectivism and Ignorance" that led to Allende's unseating.
If you believe the ends justify the means, then you may accept a repressive government like that of Stroessner and Pinochet; picking the least worst of two evils (authoritarian right-wing vs. socialist left wing). But are you willing to accept the thousand of people that disappeared in Chile during Pinochet’s rule? Are you willing to deny basic liberties such as freedom of speech like Pinochet did? Pinochet, Stroessner, Chavez and Castro are not so different animals; they all restrict basic liberties in order to achieve goals. You might sympathize with center-right dictators that prove you don’t understand the root of the problem with socialism. Freedom and Free markets go hand in hand. Chile is a peculiar example since free market economist where able to fix the economic arena, but the political arena was crippled for decades. In 1994 that all changed. But in all other Latin American countries where right wing dictators suspended liberties in the name of protection from communists and socialists we saw the level of poverty, misery and desolation stayed the same. Freedom and Free Markets go hand in hand.
There is another way. The key to help a nation prosper is in first winning the battle of ideas in its citizen’s minds. You have to fix the problem at its root, the idea level. Some of the worst evil in history where not committed by people set out to do evil, but buy people set out to do good by force.
Interesting stuff but as a personal point of view I think you would do better with less rhetoric and more balanced argument.
Voters in Peru have legitimate grievances over management of the economy and the nation´s resources, and they are legitimately expressing them through the democratic process. Characterising this as a virus does you no favours.
As in Bolivia, certain sections of the Peruvian sierra Andina feel disenfranchised by "neo-liberal" and free market policies that see natural resources, and profits from their sale, leave the country without delivering tangible economic benefits to the surrounding communities.
The reconciliation of free market capitalism with ethics, christianity, or simply humanism can ONLY come through belief in the "trickle down" effect of this capitalism, in making everyone richer. Well at the end of the day, not enough is trickling, and not fast enough.
You call it ignorance, I call it the effect of not being able to feed your children, or have a reliable source of clean water.
For the record I´m totally in agreement with you that Humala would be a disaster for the country, but I believe that his very presence in the election campaign pushes social issues to the forefront, and means that every candidate will have to address these issues. The rise of Evo, and of Ollanta, shows self-evidently that at the moment these countries have misjudged the balance, and left the factions these people claim to represent out in the cold. The challenge facing whoever is elected is how to re-enfranchise these people, while not scaring away precious foreign investment and tourist revenue. Wall St and the London Stock Exchange is full of chatter about ethical investment - well let´s see if some of these companies are prepared to sacrifice their profits in return for a more sustainable long term business model that doesn´t involve locals blockading their mines every third wednesday.
But enough about me, how you doin?
If you believe the ends justify the means, then you may accept a repressive government like that of Stroessner and Pinochet; picking the least worst of two evils (authoritarian right-wing vs. socialist left wing).
My intention wasn't to defend Stroessner and Pinochet, merely to point out that their example surely complicates your black-and-white dichotomy between the Goodness of the Free Market and the Evil of Socialism. For no matter how many times you repeat your mantra Freedom and Free Markets go hand in hand, history shows that it ain't necessarily so.
In response to Kings of Fools:
You are right that there have been occasions where we’ve seen free markets with authoritarian governments (Chile during the 70’s and 80’s) and also democracies that practice socialism (France of today would be a good example). I argue that none of these combinations are sustainable in the long run. There are flaws with both socialism as an economic system and with authoritarian governments. I completely stand with my argument that in the long run the only combination that is sustainable is political and economic freedom, in the form of democracy and free markets. I believe that this is a matter of black and white; there is no grey area when it comes to deciding which types of government and policies one should advocate for and pursue.
When I say that freedom and free markets go hand in hand I am referring to a sustainable combination of political and economic systems that will increase the overall level of prosperity of a nation. Please look at the 2006 index of economic freedom by the Heritage Foundation here.
The top 20 countries with the most economic freedom are all democracies, and they are also the richest nations in the planet. Notice that both Ireland and Singapore are on the top of the list. Both where relatively poor nations 50 years ago, embracing democracy and free markets there are both now incredible success stories and rode models for all Latin American countries.
I thank you for sharing your point of view; I believe that these types of discussions are important.
Post a Comment
<< Home