Chile 1970 73: Economic Development and its International Setting

One of the main objectives of the Unidad Popular ('Popular Unity') Govern ment was to attain Chile's evolution towards more advanced forms of social organization within the framework of strictly respected democracy. This objective, which is deeply inherent in every human being and conse quently present under all conditions and in all parts of the world, is not weakened by temporary defeats or transient retreats. History proves this, and current events in many parts of the world fully confirm it. One of the areas in which this struggle for progress takes place most in tensively is economics. Here, clashes take place between the forces which work towards social progress, and those which oppose it and aim to maintain a sys tem of intolerable priveleges. The ideological and material resources available to the forces which attempt to restrain social progress are not small, and under given circumstances they overcome the forces by which the majority tries to realize a better future. This is expressed very clearly in the relationships which link the internal dynamics of social development with the great economic and political forces operating at the international level. Consequently, analysis of the social trans formation process in such countries as Chile, in the context of the political and economic reactions these processes unleach at the international level, is of key importance.

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One of the main objectives of the Unidad Popular ('Popular Unity') Govern­ ment was to attain Chile's evolution towards more advanced forms of social organization within the framework of strictly respected democracy. This objective, which is deeply inherent in every human being and conse­ quently present under all conditions and in all parts of the world, is not weakened by temporary defeats or transient retreats. History proves this, and current events in many parts of the world fully confirm it. One of the areas in which this struggle for progress takes place most in­ tensively is economics. Here, clashes take place between the forces which work towards social progress, and those which oppose it and aim to maintain a sys­ tem of intolerable priveleges. The ideological and material resources available to the forces which attempt to restrain social progress are not small, and under given circumstances they overcome the forces by which the majority tries to realize a better future. This is expressed very clearly in the relationships which link the internal dynamics of social development with the great economic and political forces operating at the international level. Consequently, analysis of the social trans­ formation process in such countries as Chile, in the context of the political and economic reactions these processes unleach at the international level, is of key importance.

Contenu

1. The Reasons for Self-Criticism of the Unidad Popular Government.- 2. General Considerations on the Chilean Economic Structure.- 1. Antecedents in the Structure of Chile's Economy.- 2. The Economic and Political Antecedents of the Economic Situation.- 3. Some General Considerations.- Notes.- Tables.- Statistical Appendix.- 3. Structural Transformations in Chile's Economy and in its System of External Economic Relations.- 1. From the Structural Crisis to the Transformation Crisis.- 2. The Legacy of the Capitalist Economic Structure.- 3. The Nature and Extent of the Structural Changes.- 4. The Internal Economic Effects of the Changes.- 5. The Reaction of Other Countries to the Chilean Structural Changes.- 6. The External Stranglehold.- 7. The External Financing Policy and the Deficit.- 8. Conclusions.- Notes.- Tables.- 4. The Foreign Policy of the Unidad Popular Government.- 1.12..- Notes.- 5. The External Sector and the Policies of the Unidad Popular Government.- 1. The Chilean Economy during the 1960s.- 2. Foreign Trade Policy.- 3. Some Considerations on the Economic Blockade during the 197073 Period.- Notes.- Tables.- 6. Nationalization of Copper in Chile and its International Repercussions.- 1. Chile and the U.S. Copper Companies, 192070.- 2. Nationalization of Copper in 1971.- 3. The Development of the International Conflict on Chilean Copper: the Causes and Consequences.- 4. Conclusions.- Notes.- Tables.- 7. The Industrial Sector: Areas of Social and Mixed Property in Chile.- 1. National and Foreign-Owned Monopolies in the Urban-Industrial System.- 2. The APSM in Industry.- 3. The Formation of the APSM in Industry.- 4. The APSM and Domestic Financial Problems.- 5. The Internal Organization of the APSM in Industry.- 6. Industrial Production in the APSMand External Difficulties.- Notes.- Tables.- 8. Nationalization of the Banking System in Chile.- 1. Characteristics of the Banking and Financial System in 1970.- 2. The UP Government's Policy of Nationalizing Banks.- 3. How the Nationalized System Worked.- 4. The Features of Nationalized Banking in Chile.- 5. Conclusions.- Notes.- 9. Inflation in Chile and the Political Economy of the Unidad Popular Government.- 1. Inflation and Economic Disequilibria.- 2. Determinants of the Economic Evolution during 197173.- 3. A Description of the Inflationary Process during 197173.- 4. The Dynamics of Economic Disequilibria.- 5. Conclusions.- Notes.- Tables.- 10. The Process of Transformation and the Role of International Cooperation: an Observer's View.- 1. The UP's Economic Programme.- 2. The Transformation Process and the Role of Foreign Assistance.- 3. Chile's Development and Foreign Assistance.- 4. International Cooperation for Development.- Notes.- Table.