Monday, June 13, 2005
Closed Markets, Central Control, and Massive Social Handouts
I might be reading between the lines a bit much, but Hugo Chavez is prescribing precisely that to fix problems in South and Central America.
Venezuelan President Hugo Chavez has blamed Washington’s brand of capitalism for the recent troubles in Bolivia.
Speaking on his weekly TV programme, he said US open market policies in Latin America had led to “exclusion, misery and destabilisation”.
He called President George W Bush’s proposal for a regional free trade agreement a “medicine of death”.
[...]
During his programme on Sunday, which lasted more than seven hours, Mr Chavez said Latin American countries were moving towards socialist economic models instead of US-style capitalism.He said Mr Bush’s idea for a hemisphere-wide free trade zone, mooted last week at a meeting of the Organisation of American States in Florida, would lead to more poverty and protests in the region.
“We say no Mr Bush, no sir… I’m sorry for you,” he said. “The people of Latin America are saying ‘no’ to you, Mr Danger, they are saying no to your medicine.
“Capitalism is the road to destabilisation, violence and war between brothers.”
The socialism concept isn’t even a tiny bit surprising, but the opposition to expanding free trade is utterly self-defeating. What, He wants the US to impose tariffs on things that others can provide cheaper and easier? He wants it to be harder to break into one of the most potentially lucrative markets in the world?
I’m thinking he doesn’t really understand the problem. The problem, for them and for American consumers, is that we don’t actually have free trade throughout the Americas. He should be pushing for more radical free trade agreements, not closed markets. The path out of poverty would be helped along nicely by new industry and cash crops, both of which would expand with a truly open free trade zone in the Americas.
Perhaps, though, the point isn’t really any economic or political pet theory. Perhaps the point is that when you can use the name of the United States to frighten your own people, you have an easier time consolidating power.
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Mr. Danger?
Seeing Chavez do his little oratory dancing is eerily reminiscent of his mentor from th e island.
Matt, I find it irritating that no one ever calls me Mr. Danger. That’s sort of cool.
And, yes, Chavez has definitely taken a page from his mentor. I wonder if he will manage it quite as successfully as Castro did--of course, for the longest time, Castro had the USSR bankrolling him and Chavez won’t have that advantage.
yes, alas, but Chavez has oil. The Venezuelan people are screwed, IMHO.
Excellent point.
Chavez does understand the problem, as least from his own point of view. Free trade means no hope of egalitarianism. It also means the potential for a powerful middle class in the various countries, and that makes it difficult to expand his socialist ideal.
It’s a depressing thought.
“Capitalism is the road to destabilisation, violence and war between brothers.”
Yup, he’s right. Let’s take a minute to think of all the stable, peaceful socialist regimes around the world.
What, you say it takes nary a second to do that? Well, use the other 59 or so to think of puppies, or bunnies, or maybe touch your special places.
7 hours! 7 hours! Who talks for seven hours!?!
I guess when you have no economy to sustain, you can spend all your time listening to a fat man talk about poverty.
Zombyboy gets it right vis-a-vis Hugo Chavez and his attacks on free trade: Perhaps, though, the point isn’t really any economic or political pet theory. Perhaps the point is that when you can use the name of the United States...
The man has stamina. Stamina, I tell you.
Seven hours of nonstop talking, and not even a Bush judicial nominee to filibuster? What a waste of hot air.