/mlpol/ - My Little Politics

So how is Chile doing lately? I've been doing some reading up on that mountainous country and Pinochet really did turn it around. From the 1940's to the 1960's it was your typical democratic South American country with looters steadily expanding government and undermining the economy. It really turned for the worse in 1970 and Pinochet was just able to save his country from becoming like modern Venezuela at the time.

It's no wonder it was called the "Chilean Economic Miracle" given that economic growth was made to surpass inflation quite rapidly. It also put holes in the idea that "we gotta lower interest rates to increase growth" and rather supported fiscal responsibility. Socialists like to point out the 1982 recession but this happened only because 1) currency pegs NEVER work; 2) private industry standards & practices do make a difference and banks have to adopt them gradually before the economy becomes reliant on them; 3) there was a recession at the time which hit exports hard. In truth I feel like we can learn a lot from this span of time and adopt better transitory policies when we finally triumph. Also, Chile has grown at a consistently higher rate than the rest of Latin America, even after Pinochet (God rest his soul) left office.

We had a Chilean anon around and it'd be neat to hear how's it going (like Spainanon but less blackpilled). From what I do know FDI and economic growth has been pretty good even despite having an inferior democratic government (the helicopter strategy worked well in the long-term). However, there is an issue with immigrants (particularly Venezuelan refugees) and I'm not quite sure how bad it is. Chile's average IQ is 90 already so it's likely that economic performance (around $27k per capita) is already near productive capacity and any further reduction is likely to cause contraction. Obviously Chile isn't perfect but the fact that it isn't a basket-case gives hope for people with maybe selfless militaries. Maybe if French generals took action rather than sending le strongly worded letter of protest (basically an invitation for dismissal) things would be better for them.