NS4540 Winter Term 2016 Neoliberalism Europa brazil economy

Overview John Paul Rathbone, Neoliberal Bashing has Lost its Luster in South America, Financial Times, February 23, 2016 Neoliberal a loaded term Coined in the 1930s to describe an obscure middle way between liberalism and socialism Only gained global currency in 1980s to describe free market policies of Chilean President Pinochet Since then degenerated into a catch-all term for anything popularly deemed reactionary, unpleasant or cruel Often includes the International Monetary Fund Neo-liberalism has become a straw man.

Neoliberalism I However tide swinging back in neoliberalism’s favor Currently – Argentina’s new president Maurico Marci called neoliberal for coming to terms with creditors, devaluation, and energy price increases – won him high ratings and popularity Contrast Brazil’s Workers Policy recently met to discuss how to rescue the country from economic crisis without “resorting to neoliberalism.” Implied avoiding socially unpopular reforms So far policies only worsened a severe recession and corruption scandal that leave Dilma Rousseff as Brazil’s most unpopular president.

Neoliberalism II Question is why word has such resonance One reason lies in the adjustment programs of the 1980s and 1990s Laid the foundation for the 2000s economic boom But their social cost also shaped political discourse Times have changed Political right more aware of social concerns Many Latin American also recognize the China-driven commodity boom over They may not wish for economic adjustment But --- do recognize its need

Neoliberalism III With the social gains of the last decade, people have a greater stake in the system Want to see system well managed Politicians who stay in power too long or preside over corruption riddle administrations and cannot provide good management are shown the door President Evo Morales who cannot run for a fourth term may be bellwether for the regional mood Morales made anti-neoliberalism a central tenet of his electoral appeal Also embroiled in a corruption sandal after ex-girlfriend, now a Chinese company executive became major government contractor