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After Neoliberalism?The Left and Economic Reforms in Latin America$
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Gustavo A. Flores-Macias

Print publication date: 2012

Print ISBN-13: 9780199891658

Published to Oxford Scholarship Online: May 2012

DOI: 10.1093/acprof:oso/9780199891658.001.0001

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Highly Institutionalized Party System

Highly Institutionalized Party System

Chile’s Pro-Market Continuity

Chapter:
(p.150) 6 Highly Institutionalized Party System
Source:
After Neoliberalism?
Author(s):

Gustavo Flores-Macías

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780199891658.003.0006

Chapter 6 argues that the highly institutionalized party system was crucial in accounting for the pro-market economic policies of Ricardo Lagos’s leftist government in Chile. It finds that moderate reforms in that country are the consequence of both the temperance instilled in the candidates through the process of accommodation and consensus-building in party politics, as well as the ability of the different forces represented in Congress to shape and moderate economic policy. Drawing on evidence from such initiatives as labor and tax reforms, this chapter shows how these proposed changes were watered down to be acceptable to a working majority in the legislature. Furthermore, Chile’s solid economic performance and deep neoliberal reforms discouraged any drastic changes to the model inherited from the military dictatorship. Other factors, including executive powers, natural resources, and organized labor do not play a significant role in explaining Chile’s general adherence to pro-market policies.

Keywords:   Chile, Ricardo Lagos, party system, economic reforms, labor reform, tax reform, depth of neoliberalism, economic conditions, market orthodoxy, consensus-building, dictatorship

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