Inequality

The Revival of Neoliberalism and the Power of Capital in Latin America

The pink tide in Latin America, which saw a slew of left leaders elected throughout the region during the first decade of the century, has pretty much come to an end.

Right wing presidents have been elected in Chile (2010 and 2017) and Argentina (2015). In Brazil, the political right gained executive power with the impeachment of left president Dilma Rousseff. This development was followed by the election of right populist, Jair Bolsonaro, as president in 2018. While a left president was recently re-elected in Ecuador, policies are becoming increasingly business friendly. The main outlier is Mexico, which recently elected left President Andrés Manuel López Obrador (AMLO). That government is already facing rising business opposition.

The Central American Caravan: More Blowback from Misadventures in U.S. Foreign Policy

The Caravan of Central Americans making its way toward the U.S. border has led to the amassing of some 5000 U.S. troops along that border. This mass migration is driven by a confluence of factors that have a long-standing history in the region: most notably widespread poverty and violence. Central American countries, more than any other countries of the region, are, in the words of the Mexican writer Carlos Fuentes, “at war with the past.” They have a history of repressive dictatorships, extreme concentrations of wealth, and poverty. Part of that history, however, has involved the involvement of the United States in ways that have exacerbated the very problems that are causing the current massive out-migration.

The Brazilian Election and Latin America’s Democratic/Authoritarian Cycles

When Latin America made the transition to electoral democracy in the mid-1980s, the process was hailed as marking the end to the region’s fluctuations between authoritarianism and democracy. Recent, events, especially in Brazil, tell a different story.  Between 2006 and 2011, it seemed possible that the program of a moderate social democratic program could be reconciled with a neoliberal global orientation: Brazil dramatically reduced poverty, public spending was kept in check, while big businesses expanded both exports and investments abroad. Now we see a sharp turn to the political right in Brazil and the inevitability of policies that will contribute to social deterioration. With 99 percent of the votes in, right populist presidential candidate, Jair Bolsonaro, leads with 46 percent of the vote. He is expected to win the second round of voting on October 28. 

The Rise of the Populist Right: Lessons from Latin America

     Right wing populism, widely seen as a threat to liberal democracy, has been on the rise in the United States and Europe over the last decade. Latin America has a long history of both left and right populist movements, leaders, and governments. It also has had its share of programmatic political parties and leaders committed to social change and substantive democratization. Yet the region’s illiberal democratic features remain stubbornly persistent. There are lessons to be learned from the Latin American experience. Unfortunately, these lessons do not provide much reason for optimism. 

The Political Economy of Latin America’s Political Turmoil

     While some observers, both journalistic and academic, maintain that Latin American politics is either moving to the political right or becoming less polarized, the clearest trend is rising political turmoil with a final destination that is far from clear. Political polarization continues to be an integral part of the Latin American political scene. 

Reflections on the Mexican Election. AMLO: Between a Rock and a (Very) Hard Place

     Andrés Manuel López Obrador (AMLO) won the Mexican presidential election with a resounding majority of around 53 percent of votes cast—the highest since 1982 when the Institutional Revolutionary Party (PRI) was still able to manipulate electoral outcomes. Mexican public expectations are high and the problems that the country’s new president must deal with are enormous. Making his task more difficult is that fact that AMLO has a heterogeneous support base with the various groups having different interests and priorities.

The Resiliency of Populism: Lessons from Argentina

     In the wake of its most recent economic crisis, Argentina has just signed an agreement with the International Monetary Fund (IMF). The agreement will reinforce the austerity measures introduced by centre/right president, Mauricio Macri, since 2015. Most observers blame Argentine populism for the country’s current economic debacle and urge strict austerity, institutional reform, and an end to corruption as the solution. However, such measures are not likely to solve much because they do not address the root cause of populism. Understanding the enormous reliance of populism is key since the most pessimistic of observers suggest that the current Argentine crisis may be the harbinger of worsening economic and (political) troubles in the region and beyond. 

Inequality and the New Authoritarianism

Inequality is not good for democracy and it is, as is widely known, on the rise everywhere. While wealth has always been instrumental in shaping political outcomes in electoral democracies, the concentrated wealth that has arisen with economic globalization has produced ever-more brazen forms of authoritarian behaviours on the part of political elites as they respond to the interests of their powerful economic allies. While details differ from country to country, there is an important common denominator: the role of economic power in giving greater leverage to political claims. In the worst cases, the economically powerful buy politicians, the media, and troublesome individuals. In all cases, the alliance between political leaders and economic elites has coincided with a notable distancing between political leaders and their publics.

Exclusion and Migration in the 21st Century

     Much has been written on the fight of millions from Global South countries in recent years. The main drivers of this out-migration have been civil war and/or high levels of social deprivation. This flow of migrants has had profound political implications in the Global North where it has been linked to the rise of new populist movements and parties. Indeed, the Trump phenomenon has played on growing American xenophobia that has been deepened by economic instability, labor precariousness, and regional poverty--all of these features have characterized the current phase of U.S. capitalism. 

The Latin Americanization of America as Blowback (an unintended consequence of a political action)

     In a country of modern office towers, luxury condos, gated communities, and stylish outdoor cafes, 41 million people live in extreme poverty. In one major city, the extremely poor cover fifty city blocks, either living on the streets or in makeshift dwellings, without electricity, sanitation, or clean water. They suffer from the diseases of poverty, particularly intestinal parasites. This underclass is ignored, if they are not scorned, by the country’s middle and upper classes.  This not a country in Latin America; it is the United States and the fifty blocks of desperately poor are in Los Angeles, one of the richest cities in the world.

Is Chile Turning to the right? Or Just more of the Same?

     Chile’s run-off presidential election, held on December 17, witnessed the victory of billionaire businessman, Sebastían Piñera over the left-wing candidate Alejandro Guillier. This will be Piñera’s second term in office; he served as president between 2010 and 2014. The victory was a substantial one, with Piñera winning 54.6 percent of the vote while Guiller, supported by outgoing left-centre President Michelle Bachelet, garnered 45.4 percent of the vote. Much of the press coverage of the election claims that the Chilean election is part of a general right-ward swing in Latin American politics. However, such an assessment papers over what is really going on—not just for Chile, but for other countries of the region as well. 

Fragile Democracies: Latin America and Everywhere

      Democracy, in its liberal democratic manifestation of free and fair elections, the guarantee of civil liberties, and the protection of minorities is under threat in many parts of the world. The Trump phenomenon in the United States is only the most obvious manifestation of the fragility of liberal democracy. There are reports that human rights violations, corruption, racism, and discrimination persist across Europe. A recent report by the Secretary General of the Council of Europe raises concerns about the damage caused to democracies by new populist movements and parties given their predisposition to undermine human rights and the protection of minorities. Most Latin American countries, which were under authoritarian rule from the 1960s until the early to mid-1980s, have particularly fragile democracies. Once again, the Latin American experience offers some important insights into the world-wide erosion of democratic practices. 

Brazil’s Corruption: Not going away any time soon

      When charges against former Brazilian president Dilma Rousseff resulted in her removal from office, protests throughout the country led many within the mainstream media to speculate that widespread public intolerance of corrupt behaviour would usher in a new public morality. Surely, such a demonstration of public anger against corruption would alert the country’s politicians to the fact that appropriation of the public treasury for personal gain would no longer be tolerated. Unhappily, this was naïve thinking as recent events so clearly demonstrate.

Justin’s Promise of an Inclusive and Fair NAFTA Deal: Not in the Real World of Neoliberal Capitalism

    NAFTA (North American Free Trade) re-negotiations are underway with Canadian Prime Minister Justin Trudeau visiting Washington and Mexico over the last week in an apparent effort to manage U.S. President Trump’s growing protectionist proclivities. The Canadian Prime Minister has called for stronger labor rights and environmental standards. He has also advocated for chapters protecting the rights of women and indigenous peoples. Improved labor standards means not just improved working conditions for Mexican workers but also better wages—this latter aimed at reducing the imbalance between Mexico’s cheap labor market and those of its northern neighbours, a disparity held to be in part responsible for the flow of American and Canadian firms southward. Trudeau’s pronouncements indicate recognition that NAFTA has not adequately taken into the account the interests of those who have been the “losers” in the agreement.

Mexico: Politics, Earthquakes, and NAFTA

      In Mexico, earthquakes and politics are closely intertwined. The country’s 1985 earthquake (centred in Mexico City with a magnitude of 8.1) left 10,000 dead and 30,000 injured. It proved to be a defining political moment in the country’s politics. The failure of the government of President Miguel Hurtado to respond to the devastation, including his refusal of outside assistance, prompted widespread grassroots social mobilization. Spontaneously, thousands of assistance groups organized themselves to come to the aid of earthquake victims. A great many of these newly formed civil society organizations, and their opposition to the government, has been fueled by its callousness in the face of the earthquake tragedy, and has formed the bases of a new political front (the National Democratic Front) that challenged the ruling party (the Institutionalized Revolutionary Party, PRI) in the 1988 presidential election.  It is widely believed that the PRI presidential candidate lost that election although the party managed to hang onto power. Faced with clear evidence of impending defeat, the government closed down the country’s computerized voting system, rejigged the vote tally, and declared victory. But Mexico’s transition to electoral democracy had begun. The use of electoral fraud gradually diminished as it became important to convince the country’s new NAFTA partners that Mexico was a worthy trade partner. By 1997, the ruling party had lost control of Congress and by 2000 the presidency. 

Donald Beware: Renegotiating NAFTA with Mexico will not be Easy

      On July 17, the Trump administration released a document outlining its negotiating objectives for the renegotiation of the North American Free Trade Agreement (NAFTA) between the United States, Canada, and Mexico. The first round of the renegotiations will begin on August 16. While the U.S. administration claims that it has no deadline for the completion of talks, the reality is that the 2018 Mexican presidential election could make the achievement of U.S. goals considerably more difficult. However, renegotiations are very likely to be fraught with difficulties even before the new Mexican administration takes office in late 2018. 

Mexico’s Indigenous Woman Presidential Candidate: More than Symbolic

    On May 28, the EZLN (Zapatista National Liberation Army) and the Indigenous Council of Government (CIG), selected María de Jesús Patricio Martínez, an indigenous women from the Nahua community of the state of Jalisco, to run as their presidential candidate in the 2018 election. As she readily admits, she has no chance of winning. In fact, just obtaining the opportunity to run for the presidency will be a struggle since electoral law requires that an independent candidate obtain some 850,000 signatures across 17 of the country’s 32 states.

Venezuela’s Turmoil: Not a Story of Good versus Evil

     When I teach Latin American politics, I usually begin by counselling my Canadian undergraduates that it is important to resist the natural human inclination to pass judgement. It is tempting to do so because Latin American politics is rife with authoritarian strong men, corruption, and procedural irregularities. However, in the words of Uruguayan journalist, Eduardo Galeano, “History never really says goodbye. History says, 'See you later.'” This is particularly true when trying to make sense of the current turmoil in Venezuela. The Venezuelan crisis is the culmination of a complex and long historical process. Contrary to much of the mainstream media, it is not a good versus evil struggle between the forces of repression and the forces of democracy.

The French Election: More on Elite Myopia and the Untruths of Neoliberalism

     The mainstream media has characterized Emmanuel Macron’s victory in yesterday’s French election as a resounding defeat of right wing authoritarian populism. Macron, heading up a new political party called En Marche! (Forward!), won 65 percent of the popular vote against right wing populist Marine Le Pen’s 34 percent. Despite the rise of populist authoritarian movements in an increasing number of countries, global elites continue to laud the unquestionable benefits of free trade and other features of the neoliberal policy prescription. 

Authoritarian Populism, Liberal Democracy, and the Myopia of Global Elites

     With the French public about to vote in a run-off election for the country’s next president, commentators in the mainstream media are cautiously optimistic that centrist candidate Emmanuel Macron will defeat Marine Le Pen’s right populist National Front. Thus, Europe will be saved not only from another movement to exist the EU but also from a racist inward thinking regime that represents a threat to liberal democracy, tolerance, and prosperity. Mainstream media has focussed largely on the National Front’s anti-Semitic and fascist past and on the party’s intolerance towards immigrants. This perspective underestimates the depth and nature of popular disillusionment. The reality is that the very emergence of populist authoritarianism is a symptom of the breakdown of the representative capabilities of liberal democracy. Regardless of who wins the French election, both liberal democracy and the global order will continue to be in trouble.