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revolutionary socialists in the United States
News & Views

Chavez’s election victory — a fresh wind or a dead end?
by Gerry Foley

As had to be expected, the pro-imperialist opposition to Hugo Chavez’s government in Venezuela did not accept the populist president’s victory in the Aug. 15 referendum that it had sponsored in an attempt to remove him. It proclaimed to an incredulous world that Chavez had triumphed by means of a “massive fraud.” It would have to have been “massive.” The official figures put the “no vote” at almost 60 percent. Even the truculent magazine of the British business class, The Economist, a consistent and dedicated denigrator of Chavez, had to say that fraud on that scale was “unlikely.”

International observers, such as former U.S. President Jimmy Carter and Organization of American States Secretary General Cesar Gaviria, confirmed the results declared by Venezuela’s National Electoral Commission (CNE). On Sept. 2, The Economist’s web site offered an article by an election observer giving a detailed confirmation of the results.

In the aftermath of the election, the central body of the opposition, the Democratic Coordinating Committee (CD), called a “cacerolozo,” a march with pot banging, in Caracas to protest the CNE’s report. Noisy marches of this sort became famous in the right-wing campaign against Salvador Allende in Chile in the early 1970s. They culminated in the bloody military coup that overthrew him in September 1973.

The CD component parties also made disgruntled noises to the effect that they might boycott the upcoming regional elections, although these threats for the moment seem to be fading.

The opposition, of course, was furious at Carter and Gaviria for endorsing the official results of the vote. Moreover, it began arguing that Chavez was actually supported by some imperialist companies. Thus, an Aug. 23 Reuters dispatch quoted an opposition statement as saying that the populist leader was relying on “the support he receives from international factors of power like Wall Street and [U.S. oil company] Chevron-Texaco. These are curious allies for someone who declares himself ‘anti-imperialist.’”

The Reuters dispatch commented: “While they wince at his anti-capitalist rhetoric, financial analysts and oil investors view Chavez’s referendum win as the least disruptive short-term scenario for Venezuela.”

In the wake of the referendum, there was an obvious relaxation in the oil market and a certain drop in oil prices. However, that does not at all mean that the imperialist interests intend to tolerate a regime like Chavez’s in a durable way. They did not accept such reformist regimes even in the most prosperous years of the international capitalist economy, when they brought down Vargas in Brazil, Arbenz in Guatemala, and Peron in Argentina in the 1950s.

They are even less likely to do it today when the imperialist economy is stumbling and they are putting on the squeeze everywhere to maximize their exploitation of countries like Venezuela.

Chavez tried to quiet the howls of the right-wing opposition by promising the rich that he would not attack their wealth and property. But such assurances could be expected to have only a limited effect, given the nature of capitalism. Central to the system are competition and raising the profit rate. Under these pressures, capitalists are loath to accept any limitations on their power, even if they could just sit back on their yachts and sip martinis.

One of the leading organs of imperialist capital, the British Financial Times, compared Chavez to Peron in an article carried on The New York Times website Aug. 31: “Mr. Chavez’s victory—ratified by international observers as clean—is important and may well have an impact in Latin America, but not because Mr. Chavez is now about to export revolution as Cuba did during the 1960s or in the way that Simon Bolivar, Mr. Chavez’s swashbuckling hero, did at the beginning of the 19th century.

“Instead, with his vote-winning social welfare policies paid for from an oil price windfall, Mr. Chavez may have signaled the revival of a Latin American populist tradition, perhaps best exemplified by General Juan Peron and Eva, his charismatic wife, in the Argentina of the late 1940s.”

There is a basic similarity between the Chavez and Peron regimes. Peron was able to offer concessions to Argentine workers without challenging capitalism as such because of the accumulated demand for the country’s agricultural produce resulting from wartime food shortages. Chavez has the advantage of high oil prices, which will probably be more enduring than the high grain prices were after World War II, since oil drives the engines of capitalism, while grain only feeds the people.

But in the capitalist world economy the price of anything is likely to be unstable. And The Financial Times argued that oil prices also would eventually fall, cutting the ground out from under Chavez’s populist experiment, just as the declining grain market undid Peron.

The Economist, along with other capitalist journals, has played up the economic difficulties that Venezuela has experienced over the last four years. Of course, it never compares them with similar problems in other Latin American countries, such as Argentina where a ruthless free-market president, Carlos Menem, presided over the ruin of the national economy.

But there is a basis for the British journal’s expectation that Venezuelan workers will eventually become demoralized if unemployment remains high and growing and real incomes continue to be eaten away by double-digit inflation.

Chavez has won mass support by using the oil manna to finance social programs that offer some hope to the poor. But the problems of poverty and inequality are an integral part of capitalism, and insoluble as long as the capitalist world market dominates the Venezuelan economy. A solution is only possible if Venezuela builds an economy based on social ownership and control. Chavez has shown no interest in that. In fact, it would require a deep going mobilization of working people in Venezuela under revolutionary leadership to wrest control of the economy from the capitalists and redirect it to meeting human needs. Moreover, a revolution in Venezuela could only survive as the vanguard of a wider revolutionary movement—that is, by “exporting revolution,” to use The Financial Times’s phrase.

The Financial Times did note that Chavez’s victory will be an encouragement to “new populism” in Latin America. That is clear. It is why the new populist regimes—in particular, the Lula government in Brazil, and the Kirchner government in Argentina—have seen their fate linked to Chavez’s.

But all of these regimes are the beneficiaries of a rising rebellion against the world capitalist offensive that has plunged Latin America and other Third World countries into even deeper misery. They face not only the backlash of the capitalists and the imperialists but the unfulfilled aspirations of their own peoples.

The failure of the populist regimes in the period of mass upsurge and instability running from the 1930s to the fall of Peron is a historic milestone. They led to defeat the masses who had supported them. The lessons of this are inscribed in the Second Declaration of Havana, the manifesto of the triumphant Cuban socialist revolution.

However, these populist regimes did raise the expectations of the masses and mobilize them to some extent. It was not inevitable that this dynamic would be stopped halfway.

Chavez has certainly had to impel a considerable mobilization of the masses in order to win his electoral victory against the machinery and media of the bourgeoisie. A network of popular organizations has developed in poor and working-class neighborhoods. The opposition’s use of the corrupt trade-union confederation in its attempt to overthrow Chavez led to a split in the labor movement, and the emergence of a more radicalized union movement, the UNT, in which revolutionary socialists appear to have a certain influence.

Obviously the Venezuelan president is the hero of working people in his country and throughout Latin America for his social programs and above all his defiance of U.S. imperialism and its local agents. However, the central weaknesses of anti-imperialist movements in the past in Latin America is that they have remained focused around idealized leaders who tried to balance between the masses and the bourgeoisie and the imperialists.

The prospects of the mass movement in Venezuela for decisively defeating its imperialist and capitalist enemies depends on the emergence of a leadership that is loyal to the movement and its aspirations. The movement that has formed behind Chavez can only win if it goes beyond him, if a new revolutionary leadership emerges.

The confrontation that came to a head in the referendum movement is continuing. Within a relatively short period of time, it will probably be decided if a leadership independent of Chavez can emerge that can lead the movement to victory. If it does, it will transform our era. If it does not, the prospect is another disastrous defeat of the many that have ended populist experiments in Latin America in the past. The article above first appeared in the September 2004 issue of Socialist Action newspaper.

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