Peter Castello He was elected president and managed the support of various left-wing parties. Some of his political rivals came to define communist rule. I do not dispute that signs of corruption have appeared everywhere in what has been the most incompetent government in memory (causing massive corruption in the quality of public administration). My simpler question is: to what extent can your economic policy be considered left-wing?
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I will answer by comparing the economic government of Castile with various governments in the country that define themselves as leftist. At the extreme end of the spectrum, the ownership of private companies often distinguishes the brand. Or, in Venezuela, or, at the time, Cuba. Pedro Castillo was the president of the party (Peru Libre), whose ideology and program proposed the expropriation of private companies in sectors of the economy that he considered “appropriate”. Fortunately, Castello left the account and account of Peru Libre between the first and second rounds of the presidential elections, and once in government he did not attempt to expropriate any company.
Somewhat less radical on the political spectrum was the use in Bolivia of coercive measures by the government of Evo Morales to force foreign companies to renegotiate contracts for the extraction and trade of gas from Tarija. That measure was not once published by the ruling Castle, but it was never put into effect. After being deposed, he claimed that he was removed from office precisely because he proposed to review the tax stability contracts in 2023. But this proof is a false allegation because only seven of those contracts are in force and there are none. they expire in 2023 (the next one to expire only in 2027).
Closer to the moderate left spectrum, tax reforms were approved by the governments of Gustavo Petro in Colombia and Gabriele Boric in Chile. In sum, these reforms seek to increase the tax burden (that is, the proportion of the economy allocated to paying taxes), by approximately four percentage points of GDP. Also, they want to make the tax system more progressive (that is, those who pay more) and finally they intend to invest almost all of these resources for social purposes (especially education and health). The Castello government proposed a similar reform when Pedro Franke was finance minister, but neither Castello nor Peru Libre did much to prevent a breakdown in Congress.
Finally, whether they are moderate or radical, left-wing governments tend to promote social policies, from conditional transfers to policies such as Bolsa Familia in Brazil, to Missions in Venezuela. Apart from their likely effect on poverty and inequality, such policies are often popular with benefits. It is not in vain that Jair Bolsonaro increased the economy assigned to him a year before the election and the unity of the opposition candidates in Venezuela, from Manuel Rosales to Henrique Capriles, said that they must be kept from winning the presidency. Short of the policy related to the pandemic, this is another area in which the Castle government has introduced no significant changes.
In fact, in the matter of the announcement of December 7, 2022, Castello said this: “In this interregnum, as we predicted, you did from the beginning, the economic model will be religiously preserved, according to the social economy of the market.” . In other words, the democratic government seemed to want to impose an end, but not to introduce significant changes in the economic situation.
