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Proceso 1155
July 27, 2005
ISSN 0259-9864
Editorial: About “El Economista”
Politics: The Latin American left wing in perspective
Economy: The CAFTA: the last battle in the Congress of the United States
About “El Economista”
The first impression that you get from “El Economista”
(The Economist) published by La Prensa Grafica, is that it is aimed to promote
the image of the wealthiest men of the country as men of wisdom. An image that
portrays them not only as people who are fond of knowledge itself, because of
their roles as sponsors, but also as creators of knowledge. The wealthiest men
of today, differently from those of the past who did not care about knowledge,
do not really want to project their image as intellectuals, but as academics, as
people with a degree that besides occupying an important position in academic
institutions –where they have worked as founders and as members of a directive
board-, intend to speak (and write) with the seriousness of scientists.
They do not like just any science, but one in particular: economic sciences.
That science that according to some versions, businessmen have been able to use
to improve the performance and the profitability of their companies. The
political sciences at times seem to get their attention; however, until now,
this is the type of economy they like. El Economista is, in that sense, a
platform for the wealthiest men of the country to promote themselves, at least
on an image level, as men of knowledge, and this is a way to legitimize their
privileges and their superiority over the rest of Salvadorans.
However, the importance of El Economista does not end with these intentions.
What happens is that when people read about the successful deals of some of the
wealthiest businessmen of the country it is evident to see the abyss between
them and most people. These businessmen definitively live in another world, a
world that the less fortunate cannot even imagine.
Undoubtedly, in El Salvador there are two countries: the one of a few rich
people, where profits are counted in millions, and the rest, where incomes are
very small and where debts are overwhelming, where the option to survive is to
leave the family behind and go to the United States. Although in El Economista
the common people do not play a starring role, when they talk about what some of
the wealthiest men of the country have earned (along with their companies), they
also talk –unintentionally- about the unbearable distance between them and most
Salvadorans.
Those successful businessmen that El Economista includes in its pages are part
of another world, a place very different from the one in which most Salvadorans
live. They do not have the same opportunities or the same options. And wealthy
people know that they are part of another world, a world far away from most
Salvadorans. If most Salvadorans had access to that dream world, it would
instantly disappear. Perhaps in the minds of the wealthy people, the only way to
keep this world of their own is to concentrate and increase their wealth in a
way that the distance between them and the rest –most people- becomes wider.
Although many people do not like to hear this, certain versions of the economic
sciences and certain economists are at the service of this other world where
wealth and consumption are the most important aspects of life. That economy and
those economists have as their main task to provide the economic apparatus (the
one that allows a few people to abusively concentrate the wealth of a country)
with an alleged scientific foundation. These economists and that economy work
for the world of a small group of people; the world of the rest, those who day
by day are trying to survive with a minimum salary earned doing eventual chores
is not a problem for those who have turned the economic sciences into a servant
of power. Those that have no power are just one more variable that can be
interpreted because of the economic model –a model that excludes a considerable
part of the society-, and the health of this model is one of the most important
aspects of all this. Those economists that have forgotten about the ethical
roots of economy take care of that model.
Even if this is slightly criticized, many of the former ideas are present in the
pages of El Economista. And there is more: the myth of a businessman that
becomes wealthy (or wealthier) because of his own skills, because of his ability
to take chances, because of his audacity. In other words, the myth of a
visionary capitalist that with just some energy dares to “compete against the
world”. It is just a myth and nothing more. Because the wealthiest people of El
Salvador have made incredible fortunes thanks to the complicity of the State,
specifically with the last three administrations of ARENA.
Some of them could say that they had money before and that might be true. But by
digging deep into the history of the groups of power in El Salvador,
specifically along the 20th Century, there is always the complicity of the
State. What happens is that El Salvador except for some interludes in which it
insinuated a certain kind of a relative autonomy, the State has been used for
the interests of the groups with economic power.
Since the Cristiani administration, the wealthiest people in the country have
used the State as they have pleased, they have taken advantage of its resources,
and they have made it weaker. They have plenty of money, while the State can
hardly face its financial engagements and the social investments because the
income is very small. As the experts that they are in the art of making money
without a care in the world have the conviction –the legacy of the country’s
oligarchy- that wealth and privileges cannot be shared at all. The State’s
officials respect them and fear them when they do not please them in their
business. They have the country in their hands and they are going after Central
America. They rave about their wealth and there are plenty of intellectuals and
journalists that applaud that voracity, they identify themselves with them and
they present them as role models, and only losers or envious people cannot feel
proud.
A true failure as the actors of a viable project: that is what the wealthiest
people of the country are. What makes them proud –and is applauded by those are
willing to sell their dignity for just a few dollars- is what is leading the
Salvadoran society to a dead end.
The Latin American left wing in perspective
Ever since the beginning of the struggle for a change, in
the early 20th Century, the Latin American left wing has known more defeats than
victories. Confrontation after confrontation, the different local oligarchies,
with the blessings of the regular armies (the allies –most of the time- of the
United States) have worked it out to end with the most important dreams of these
old idealists. The illegal support of the United States to the anti-Sandinista
guerrilla, the coup d’état against the Chilean president Salvador Allende in
1973, or the bloody collapse of the Guatemalan revolution in 1954 are some of
the examples that remind us of this fact.
This evidence does not intend to reduce the level of importance of the
sacrifices made by those Latin American people who have always dreamed about
improving the lives of their brothers. Many people have left their lives behind
throughout the last century because they believed that it was worth it to
sacrifice their own existence because that would enable them to positively
change the lives of others. However, no one can erase the image of all the
failed intentions of the left-wing to change the Latin American society.
The main concern of the Latin American members of the left wing has always been
to transform the social and the economic order. Jose Marti used to say back in
1891 that to fight for the rights of the oppressed people has to be a common
cause “to strengthen a system against the interests and the usual behavior of
the oppressors”. Those who long for a change in the social, the political, and
the economic Latin American political scene have always fought against both the
local and the foreign oppressors.
On the other hand, Marti recommended to govern according to the knowledge of the
political environment in order to liberate the Latin American continent from the
tyranny of the oligarchic interests. Marti used to say that “the European
university has to work with the American university”, (…) “the natural statesmen
emerge from the direct study of nature and they cannot exist by copying foreign
procedures”. For him, the Latin American reality (since the time of the Incas to
the present) has to be studied in detail, even if we do not study the Greek”.
Marti led the following statement: “blend the world into our countries; but only
our countries can be the foundation”.
No one can say that the leaders of the left wing have always studied in the
school of the Latin American nature. It is ironic to see that those who have
made a better political use of the Latin American cultural origins have been the
members of the right wing. Perhaps this fact can explain the few and the
ephemeral connections between the Latin American people and the left-wing
leaders. It is also necessary to say that most of the times the failures of the
left wing can be explained because they lack popular support in their struggle.
There will be, without a doubt, divergent interpretations about the reasons that
explain the continuous political failure of the left-wing. However, there is no
doubt that the systematic repression, and that the murder and the disappearance
of the sympathizers of the transformations have created an environment of terror
that has paralyzed many Latin American citizens.
However, after the transition to democracy in the region, it was expected that
the left wing had a better destiny. It is true, the offensive of the right wing
continues against those that are considered as Marxists, those that are accused
of being incapable of leading a global economy in which the leading actors are
the capitalists forces. Thanks to the political openness, the end of the
systematic repression and the departure of the members of the army from the
political life, it was expected that the transformation discourse of the left
wing were to gain new strength. In addition, all of this happened in an
environment of poverty and in the middle of an economic crisis, where the breech
between the poor and the wealthy has grown wider. In other words, this is a
situation in which we could see the vindications of the left wing.
However, as it has been said before, in general, the Latin American left wing
has obtained a number of electoral results that are far from its dreams. The
left wing just managed to gain political control in just a few countries. And
when this has happened, it has just administrated the economy of those countries
exclusively inside the limits allowed by the international organizations. This
reality brings-up a couple of basic questions: What are the circumstances that
favor the possibilities for the left wing to gain control in this democratic
conjunction? Can anyone keep dreaming about a radical transformation in the
societies of the region?
About the circumstances in which the left wing parties manage to gain power, all
of them seem to have the wish to transform the countries. Before the presence of
the exclusive domination of the right-wing elite and their incapacity to resolve
the problems of the Latin American societies, the left wing presents itself as a
comfortable alternative, as long as it works at the height of the circumstances.
This intention to “place themselves at the height of the circumstances” seems to
be related with abandoning the Marxist radical discourses and a strong alliance
with the different autonomous sectors that do not necessarily come from the left
wing tradition, but that are critical in reference to the results of the
application of the Neo-liberal policies. Not even the case of Hugo Chavez, the
most radical of the Latin American presidents in the political tradition of the
left wing is an exception. Chavez arrived to the presidential chair thanks to
the support of a considerable number of sectors of the Venezuelan society that
were willing to operate several transformations in a society already scared by
sclerosis. The radicalization of the colonel arrived after he became president.
The same thing has happened with the members of the left wing from Brazil and
Uruguay –although they have not been as radical as President Chavez-. Perhaps
the FMLN should learn this lesson if it intends to achieve the maximum political
responsibility. In other words, to moderate its discourse and assure that it
will not go back to its Marxist postures of the past. In these circumstances, it
could not even dreams about surprising people if they ever administrate the
country. The armed forces, the financial oligarchy, and the United States would
prevent any “wrong turns”.
This situation leads us to wonder about the limits attached to the political
action of the rulers that come from the left wing. Before the presence of the
increasing levels of misery and social exclusion of the poorest people, the
elites have not abandoned their old authoritarian reactions. The regular Latin
American armies remain as the guards of the oligarchy’s wealth. In addition, the
most conservative sectors of the American diplomacy will not tolerate any
revolutionary political adventures that might intend to redesign the economic
terms that define the dependency relations with the economy of the region.
These limits of the political actions of the Latin American left-wing, far from
leading us to hopelessness have to be creative and bold enough not to give up
the ideals of justice and solidarity between the members of the society. The
hostile environment in which the left wing politicians have to work is an
obstacle to radically transform the region from a social, an economic, and a
political perspective. In this sense, there is no difference between the
objectives of the battles of the past and the ones of today.
The CAFTA: the last battle in the Congress of the United States
The final voting to approve the CAFTA will take place this
week in the Congress of the United States. In the last days, different sectors
from the American society have shown how they feel about the treaty. The most
important opinions have to do with the Republican and the Democrat congressmen.
The Republicans present the treaty as an instrument to help the other Central
American countries in the development process. For them, the CAFTA is not
exclusively an economic measure that will favor the countries that will be
subscribed to it, it is also an important component to consolidate the democracy
of the region. On the other hand, the Democrat congressmen sustain that the
CAFTA is a measure against the workers of the countries that are negotiating
this deal and against the political stability because many of the regulations
that the agreement involves do not respect the situation of the workers of those
countries.
In El Salvador, just like in the United States, there is also a division due to
the commercial agreement. The government and the voices that support it are
convinced that the measure is important for the reactivation of the economy. The
Free Trade Agreement with the United States could bring new sources of
investment to the country, something that would increase the employment level.
It could also increase the exportations to the United States to help reduce the
commercial deficit. There is the left wing against these ideas. For the
congressmen of the opposition, this economic agreement is an imperialist measure
that will consolidate the country’s dependency on the United States. In
addition, the process of commercial exchange of goods and services together with
the flow of capitals will exclusively favor the country’s business elite.
What is going on in the Congress of the United States?
An intense process of lobbying has started during the last week of negotiation
so that some of the sectors of the American industry that feel affected by the
CAFTA begin to open their minds to the treaty. A couple of days away from the
final voting, the National Council of Textile Organizations (NCTO) said that it
feels grateful for the improvements that have been made to the treaty. The
American companies, specifically the ones that make fabrics for pockets, are
free from the threat of losing up to $100 million in annual exportations to the
region, while the Nicaraguan manufacturers of trousers will have to increase the
level of their purchases (of American fabrics) by $90 million if they wish to
have the present levels of preferential duties for their exportation products.
This concession that was made in favor of the American textile businessmen has
caused that at least four legislators connected with the textile interests
commit themselves to vote in favor of the treaty. These votes could be crucial
in the final voting that will take place in the Chamber of Representatives. This
is how the Bush administration would be taking an important thread overhead in
order to achieve the ratification of the CAFTA.
The president of the NCTO is so pleased with the achievements that, after
several months of a continuous sense of aversion to the commercial treaty has
said that the CAFTA “is now an agreement that deserves to be supported”. The
Republican congressmen provoke the Democrats saying that now there are no
excuses to be against the treaty due to the textile concerns. Another one of the
concession methods used in the American Executive power to get some votes from
several congressmen is the concession of funds to build streets and bridges.
Even with those achievements of the Bush administration, there are those that
say that the final voting will become a complicated process. In fact, there are
those who say that 20 more votes will be necessary to approve the agreement in
the Chamber of Representatives.
What still seems as an indestructible barrier is the American Sugar Alliance (ASA).
Jack Roney, a representative of the union, said to the media that he believed
that the Free Trade Agreement would fail by a “very small margin” in spite of
the efforts of the Bush administration in order to convince the Republicans of
the key states that produce sugar, such as Florida, Louisiana, Montana, and
Idaho.
The Salvadoran government is now concerned because of the voting. The Minister
of Economy, Yolanda de Gavidia, has said that “there are a couple of
possibilities: to ratify it or to reject it. To reject it would leave us without
the treaty”. This public official added that if the government of the United
States does not have the 218 votes that are necessary to approve the CAFTA, it
can choose to delay the plenary of the voting until September. However, this
measure would not make much sense when it is possible to see the great amount of
efforts that the American government and the subscribing countries have made to
ratify the agreement as soon as possible.
On the other hand, the opposition of the country is pleased with the possibility
that the treaty might not be ratified. Salvador Arias, an economist that works
as an advisor for the FMLN said that the was happy to have established alliances
with American unions and syndicates that support the cause against the
agreement. Arias indicated that this was a positive victory for the Central
American countries because he considers that the support that they got from the
Republicans and the Democrats that are against the treaty are “safe”, and that
is why by the time the voting takes place, according to his predictions, the
necessary 218 votes will not be completed to approve the treaty. He also accused
George W. Bush of buying votes through concessions to favor several Republican
and Democrat congressmen that are not convinced about the effectiveness of the
commercial agreement.
Economy and politics
During this process of intense debates inside the Chamber of Representatives of
the United States, it has been possible to see how the economic and the
political interests are combined to get the ratification of the CAFTA. It seems
interesting to see that many economists, in order to have a “scientific rigor”,
have dedicated themselves to understand economics as a science built exclusively
over a foundation of relations of prices and amounts in the market. The social
reality is much more complex and more of a rigorous approach to the economic
facts cannot be achieved exclusively through the economic models that are based
on advanced mathematics.
In the case of the CAFTA, just like many of the members of the American Congress
would admit it: “a defeat would clearly have critical implications beyond the
Agreement”. In this sense, the Washington Post sustains that the Free Trade
Agreement has become inside the Congress a less important kind of decision
before the presence of the political dimension that this represents due to the
struggle that is taking place between Democrats and Republicans. In this sense,
the trade agreement does not only have economic objectives, it also has
political goals. Through the CAFTA, the United States is trying to consolidate
the Neo-liberal model in Central America. A model that in the last years has
revealed its critical deficiencies when it comes to face the most important
material needs of most Salvadorans.
Tel: +503-210-6600 ext. 407, Fax: +503-210-6655 |