[Marxism] Fwd: The 'pink tide' in crisis - Al Jazeera English

Louis Proyect lnp3 at panix.com
Fri Sep 2 06:28:10 MDT 2016

On 9/2/16 8:16 AM, Andrew Pollack via Marxism wrote:
> yes, one country won't do it; but how did the Pinks' plans for ALBA etc.
> fare?

The problem is that all these Latin American countries have economies 
based on mineral or agro-exports. They sell to industrialized countries 
in order to secure foreign currency that can be used to purchase their 
goods. When their exports decline in price, that reduces the amount of 
revenue the government can use for social programs.

I saw this dynamic close-up when I was involved with Tecnica in the late 
1980s. We used to have regular meetings with Paul Oquist, Ortega's 
economics adviser. The revolution was being crushed by the costs of the 
war and the inability of coffee, sugar and cattle sales to generate the 
income the country needed for development.

People seem to have the strange idea that a nationalized economy based 
on planning is some kind of magic wand. Consider the implosion of the 
Soviet economy in the 1920s when Russia had immense resources.

Marx and Engels always believed that it would be advanced economies that 
would serve as the foundation for socialism. They were right but they 
didn't anticipate how such economies could serve to dampen the class 
struggle with Sweden being a prime example.

Issuing calls for socialist revolution is rather easy. Making it happen 
is much more difficult.

More information about the Marxism mailing list