Information
Print

Pink Tide, capitalist reforms

Information
26 October 2019 84 hits

In the 2000s, many countries in Latin America had a wave of democratic socialist governments, called the “Pink Tide.” They bought workers’ allegiance and cycnicsm about change, introduced reforms,  and kept the working class tied to the hamster wheel of capitalism. Now, capitalist wars, exploitation, racism, and sexism continue. To eliminate these horrors, workers must overthrow the capitalist class and its government, and replace it with a government dedicated to the working class. That’s communism.    
Rise of Pink Tide
During the 1970s and 1980s, Latin American governments accepted loans from the U.S.-led International Monetary Fund (IMF). When they couldn’t repay the loans, the U.S. forced them to adopt neoliberal austerity, which means deregulation, reduced government spending, layoffs, and privatization of services. Massive demonstrations got Pink Tide politicians elected, promising reforms.  
These politicians espoused “democratic socialism”, or reforming capitalism when in reality they played into the imperialist rivals’ hands. While giving some welfare to workers, they made deals with various capitalists. They demanded more revenues from petrochemical and mining imperialists, either from nationalization or restructured deals with foreign investors.
All Pink Tide countries increased trade and investments with Russia and China. Commodity sales funded cash payments to workers, briefly elevating income.  When prices fell, these payments were cut off, restoring poverty. Workers turned against the Pink Tide politicians.
Venezuela
Venezuela is dependent on oil export income to buy food and manufactured goods abroad.  President Hugo Chavez promised a Bolivarian Revolution.  His reforms included: cash payments to workers, land reform, free medical care, free housing, literacy, etc.  He criticized capitalism, but his government included military leaders and capitalists. Chavez railed against U.S. imperialism, but implemented the IMF’s austerity policies, and maintained the U.S. as Venezuela’s main trading partner.  During 2017, under Chavez’s successor Maduro, inflation reached 1,698,488 percent (Reuters, 2/21/18).
Brazil
The democratic socialist Workers’ Party (PT) had an anti-capitalist platform: cancel international debt, nationalize business, redistribute land, and abolish capitalism.But PT president Luiz Inácio Lula da Silva did the exact opposite. He implemented IMF austerity on workers, but invested $343 billion to boost local capitalists.  In contrast, his welfare program cost $10.13 billion a year (Guardian, Dec 17, 2013). Briefly Lula was immensely popular. Lula’s social programs were paid for by exports. When commodity prices dropped causing a recession, payments to workers were cancelled and finally his successor, Dilma Rousseff, was impeached.
Bolivia
Evo Morales of Bolivia led a popular movement against imperialism.   Morales nationalized petrochemical industries to give  $5 billion a year to workers.  As the economy grew, local capitalists benefitted. He simply distributed some export proceeds to buy votes, while assisting the mining industry to encroach on indigenous lands.
Ecuador
 Rafael Correa was elected in the context of mass movements against austerity and mining encroachment on indigenous lands. Correa kicked the U.S. Air Base and U.S. Drug Enforcement Agency out of Ecuador, reduced foreign debt by 60 percent, and restructured oil deals.  These revenues allowed payments to workers of $30 per month. By 2009 he openly accepted neoliberal austerity and sided with the mining industry.  Popular protests drove him out of the country in 2017.
Argentina
Nestor Kirchner and Cristina Fernandez de Kirchner came to power as “left-wing” Peronists.  Argentina had been the most industrialized country in Latin America. Neoliberal austerity in the 1990’s ended trade barriers, destroying industries and leading to mass unemployment and poverty. A mass piquetero movement of unemployed workers blockaded highways throughout Argentina in 2001-2.  
While promising reforms and restructuring foreign debt, Fernandez cut many social programs.  
Lasting change requires communist revolution
Without ending capitalism, working class reforms are soon lost. The Pink Tide took over existing capitalist governments and gave some crumbs to workers. But workers did not run society; they controlled nothing. Capitalists still controlled the economy, the courts, the parliament, the police, and the army. The capitalists ended the reforms ASAP.
These Pink Tide governments temporarily masked some of capitalism’s ugliness, helping local capitalists stay in power during mass rebellions. They cooperated with local capitalists and supported financial ties with Russian and Chinese imperialists. Reform promotes capitalism.
Progressive Labor Party wants to overthrow capitalism and organize a system of workers’ power dedicated to the betterment of the worldwide working class.  That’s communism.
Learning from history
Bernie Sanders, Elizabeth Warren and Alexandra Ocasio-Cortez are wooing the working class in the U.S. They promise a $15/hour minimum wage, Medicare for all, free public college, and a Green New Deal. Some workers might benefit. But capitalist reforms are temporary, and more exploitation and profiteering wars are coming. As we fight for reforms, let’s not be distracted from the ultimate goal: a world free of war, racism, sexism, exploitation, and inequality.
We can build a world with housing, jobs, healthcare, education, and more, all run for and by the working class. But not by voting. The bosses won’t let us vote away their money and power. We must destroy capitalism with an organized movement for communist revolution. Join us.