Chile Election Puts Free Market Model at Mercy of Angry Voters

Subscribe to The Global Herald in Google News

Bloomberg Quicktake: Now published this video item, entitled “Chile Election Puts Free Market Model at Mercy of Angry Voters” – below is their description.

A politically polarized Chile holds presidential elections today, with voters set to either overthrow an economic model installed during the dictatorship of Augusto Pinochet or double down on its free-market ethos.

A politically polarized Chile holds presidential elections on Sunday, with voters set to either overthrow an economic model installed during the dictatorship of Augusto Pinochet or double down on its free-market ethos.

The vote is shaping up to be a battle between two candidates from opposite ends of the political spectrum — conservative Jose Antonio Kast and leftist Gabriel Boric. While Kast wants to slash taxes and government spending, Boric envisions a bigger state to tackle inequality while raising levies on corporations.

“Never before in elections have we seen such opposing economic views on how to address Chile’s challenges,” said Sergio Lehmann, chief economist at Banco de Credito e Inversiones in Santiago. “Compared to other elections, the search for consensus and agreements is relatively absent. Therefore, there’s more tension and more uncertainty.”

If no candidate receives more than 50% of the vote, a runoff will be held Dec. 19. Chileans will also elect new deputies for the 155-member lower house and about half of the senate. The outcome will be closely watched in the region ahead of major elections in Brazil and Colombia next year.

Investors are also on alert as one of Latin America’s richest nations weathers unprecedented uncertainty and higher social demands. Chile is also in the process of rewriting its constitution drawn up under Pinochet that has underpinned three decades of growth but fueled inequality.

Financial markets have swung wildly in recent months as Chile debates the future of an economic model drawn up in the 1970s and 1980s by the so-called Chicago Boys, disciples of University of Chicago professor Milton Friedman who advocated for open market policies including deregulation and privatization.

Chilean stocks plunged earlier this year on the outcome of a vote to select members of the constituent assembly only to surge a few months later after a leading presidential hopeful from the Communist Party was ousted in a primary.

The peso has dropped 3.1% this week alone, and is down 13.9% this year, trailing only Turkey and Argentina for the worst currency in emerging markets.

Bloomberg Quicktake: Now YouTube Channel

Got a comment? Leave your thoughts in the comments section, below. Please note comments are moderated before publication.


Subscribe to The Global Herald in Google News

Similar Content

About This Source - Bloomberg QuickTake: Now

Bloomberg L.P. is a privately held financial, software, data, and media company headquartered in Midtown Manhattan, New York City.

It was founded by Michael Bloomberg in 1981, with the help of Thomas Secunda, Duncan MacMillan, Charles Zegar, and a 12% ownership investment by Merrill Lynch.

Recent from Bloomberg QuickTake: Now:

  • Tourists in Machu Picchu Evacuated After Major Flooding
  • Protests in the U.K. over Vaccine Mandates for Healthcare workers
  • Tokyo Rolls Out Booster Shots for Older Citizens
  • In This Story: Argentina

    Argentina, officially the Argentine Republic, is a country located mostly in the southern half of South America. Sharing the bulk of the Southern Cone with Chile to the west, the country is also bordered by Bolivia and Paraguay to the north, Brazil to the northeast, Uruguay and the South Atlantic Ocean to the east, and the Drake Passage to the south.

    With a mainland area of 2,780,400 km2 (1,073,500 sq mi), Argentina is the eighth-largest country in the world, the fourth largest in the Americas, the second largest in South America after Brazil, and the largest Spanish-speaking nation by area.

    Argentina claims sovereignty over part of Antarctica, the Falkland Islands, and South Georgia and the South Sandwich Islands.

    2 Recent Items: Argentina

  • Argentine President: China-Argentina relations are very good
  • Martin Guzman: Argentina vs IMF? | Talk to Al Jazeera
  • In This Story: Brazil

    Brazil is the largest country in both South America and Latin America.

    Its capital is Brasília, and its most populous city is São Paulo. The federation is composed of the union of the 26 states and the Federal District. It is the largest country to have Portuguese as an official language and the only one in the Americas, as well as the most populous Roman Catholic-majority country.

    Its Amazon basin includes a vast tropical forest, home to diverse wildlife, a variety of ecological systems, and extensive natural resources spanning numerous protected habitats. Brazil is classified as an upper-middle income economy by the World Bank and a newly industrialized country.

    2 Recent Items: Brazil

  • Brazil approves Sinovac COVID-19 vaccine for youth aged 6-17
  • Rio De Janeiro to Allocate 1% of Treasury Reserves to Crypto
  • In This Story: Chicago

    Chicago, on Lake Michigan in Illinois, is among the largest cities in the U.S.

    2 Recent Items: Chicago

  • Churches everywhere on the South Side yet so much violence | Rooftop Revelations
  • Giannis Antetokounmpo’s DOUBLE-DOUBLE leads Bucks past Bulls 🦌
  • In This Story: Chile

    Chile, officially the Republic of Chile, is a country in western South America. It occupies a long, narrow strip of land between the Andes to the east and the Pacific Ocean to the west. Chile covers an area of 756,096 square kilometres (291,930 sq mi) and has a population of 17.5 million as of 2017. The capital and largest city is Santiago and the national language is Spanish.

    Chile borders Peru to the north, Bolivia to the northeast, Argentina to the east, and the Drake Passage in the far south. Chilean territory includes the Pacific islands of Juan Fernández, Isla Salas y Gómez, Desventuradas, and Easter Island in Oceania. Chile also claims about 1,250,000 square kilometres (480,000 sq mi) of Antarctica under the Chilean Antarctic Territory.

    2 Recent Items: Chile

  • Chile president-elect Boric unveils women-majority cabinet
  • Chile launches climate change observatory
  • In This Story: Colombia

    Colombia, officially the Republic of Colombia, is a transcontinental country largely in the north of South America, with territories in North America. Colombia is bounded on the north by the Caribbean Sea, the northwest by Panama, the south by Ecuador and Peru, the east by Venezuela, the southeast by Brazil, and the west by the Pacific Ocean.

    The capital is Bogotá, the country’s largest city. With over 50 million inhabitants Colombia is one of the most ethnically and linguistically diverse countries in the world. The Republic of Colombia was declared in 1886. Panama seceded in 1903.

    Colombia’s territory encompasses Amazon rainforest, highlands, grasslands, and deserts, and it is the only country in South America with coastlines and islands along both the Atlantic and Pacific.

    3 Recent Items: Colombia

  • Ireland on Colombia and the DPR Korea – Security Council Stakeout | United Nations (20 January 2022)
  • Joint Women, Peace, and Security Stakeout on Colombia -Media Stakeout | United Nations (20 Jan 2022)
  • ‘Fed up’ of extremes and violence: Colombia’s Ingrid Betancourt seeks centrist voters
  • In This Story: Turkey

    Turkey, officially the Republic of Turkey, is a transcontinental country located mainly on the Anatolian Peninsula in Western Asia, with a smaller portion on the Balkan Peninsula in Southeastern Europe.

    Istanbul, which straddles Europe and Asia, is the country’s largest city, while Ankara is the capital. The majority of the population identifies as Turkish, around 20% identify as Kurdish.

    3 Recent Items: Turkey

  • Huge snow slabs fall from roof onto students
  • Erdogan pledges to tackle record inflation in Turkey | DW News
  • Germany tops 100,000 daily infections +++ Hong Kong culls hamsters | COVID latest
  • Leave a Comment

    We don't require your email address, or your name, for anyone to leave a comment. If you do add an email address, you may be notified if there are replies to your comment - we won't use it for any other purpose. Please make respectful comments, which add value, and avoid personal attacks on others. Links are not allowed in comments - 99% of spam comments, attempt to post links. Please describe where people may find additional information - for example "visit the UN website" or "search Google for..." rather than posting a link. Comments failing to adhere to these guidelines will not be published.

    Posting....