Review of "Dependency and Development in Latin America"

Dependency and Development in Latin America is former Brazilian president Fernando Henrique Cardoso and Enzo Faletto’s historical materialist account of the preconditions and conditions of economic development in Latin America. The preface and introduction flatly rejects a narrow empiricism and particularism and instead adopts a holistic, dialectical, historical-structural approach.

As subsequent historiography illustrates, the forms taken on by a dependency varied considerably based upon the social-political context, the goods available for export and the level of capital investment and social infrastructure required to extract them, the political capacity following the cessation of the war for independence as well as more mundane concerns such as terrain and communications capacity. Despite the centers incapacity to operate as the political power within the periphery, still exercised immense control as their productive capacities were in essence enclave economies. Put another way, peripheral economies were still dependent upon their former colonial masters to take in their exports, which was predominantly raw materials. Because their capital goods sector wasn’t usually not quantitatively large enough and they lacked a domestic market, the importation of capital intensive, manufactured goods continued. This coincidence of interests meant that in many ways that thought the wars of independence had been fought and won such that they were no longer under the thumb of the Iberian peninsula, the same manner of control was and dependence existed.

Dependent economies were at an additional disadvantage as the banking system had previously been administered by ejected colonial groups, making potential colonial capitalists at another disadvantage. Lacking access to European markets, reliant upon foreign bankers, unable to profitably exploit their own domestic market, accelerated urbanization with concomitant expectations for political liberalism and with a ruling class that often idealized and sought to imitate their former oppressors combined to create the conditions for social conflict. In the emphasis on the materiality of the countries in question, Cardoso seeks to undermine the facile notions proffered by modernization theorists such as W. W. Rostow which hold that the imposition of universalistic economic qualities on an economy can create development.

At such a point it’s worth noting that Cardoso highlights at several points the role of the bureaucracy. It’s various incarnations are worth discussing as a counterfactual to modernization theory’s economic “bridging” and as shortly following the books release the epoch of bureaucratic authoritarian regimes began. History illustrates that it is possible for a society to go through profound alterations in its system of production with the formation of a center for bureaucratic decision making. The creation of a “political sphere”, concomitant social institutions and the composition of character implies a level of complexity not alway existent. Following the nascent struggles, they are either able to serve their creator’s interests, the dominant route, act to benefit some lower class groups goals of (predominantly socialist or communist) development or able to blend the two within a nationalist sentiment. The various powers within this are tied to the level of capital development, however was already mentioned above in relation to the enclave economy of dependent countries, it is not just that there are times when large land-holders and domestic capitalists have an interest in policies that prioritize their maintenance of existing social relations despite the fact that a marginal adjustment might spark internal capitalist development – but that this is the default state of affairs.

The historical analysis which follows and provides examples of this is, as a relative neophyte to Latin American politics, admittedly beyond my scope. However I would not that Marjory Urquidi’s review of the book in The Hispanic American Historical Review, vol. 60 No 1, noted that while aspects of it could be problematized it was largely lacking any major flaws. What I am able to comment on is Kenneth Robbert’s quick dismissal of the purported datedness of Cardoso’s “socialist” language. From the previous analysis, and tellingly written at the beginning the “lost decade”, it is clear that given the capacity of the upper class to deal with financial burdens that it’s better in the long run for them to assist workers rather than resist their demands. Class conflict, like welfare and job training programs, both cost money but only one of them assists the capitalists once the opportunity presents itself.

Review of "The Revolution in Venezuela: Social and Political Change under Chávez"

The Revolution in Venezuela: Social and Political Change under Chávez is part of the David Rockefeller Center’s series on Latin American studies. Published by Harvard and and edited by Thomas Ponniah and Jonathan Eastwood, the book brings together eight academic articles about differen aspects of social, political and economic and change since the election of Chávez. While the articles are not in direct conversation with each other, the two major themes are analysis of “State & Society Relations” as well as an exposition of what “The Bolivarian Project” is in it’s aspirations and implementation.

Fernando Coronil’s article recounts the manner in which the 2002 coup attempt transpired, the coup within the coup, and how it is that the interpretation of the events of April 11-14th are a continuing source of dispute between those who support and those who oppose Chávez. Those familiar with Chavez: The Revolution Will Not Be Televised: A Case Study of Politics and the Media will find the content very familiar as both analyze the misrepresentation of the coup in the Venezuelan media and provide timelines of the actual events that ends in a massive manifestacion that compels the military elements of the coup to return him to power. The article does, however, contain some more information that the film does not. For instance, one of the more humorous moments in the retelling of the events of the 2002 coup attempt is the use of rhetoric by the opposition. One of the slogans for their march protesting the firing of an oil worker was “Ni un paso atrás” (Not one step back). By attempting to establish a kinship between their protest against Chávez, who was democratically elected, and Chilean democratic protestors against Pinochet, who killed the democratically elected president Salvador Allende and ruled as dictator, they show their inability to make valid historical analogies. Coronil additionally highlights the different responses to those killed during the march to restore Chavez to power and those that died during the Caracazo of 1989. During the latter conflict 399 were killed and the media minimized these numbers while in 2002 only 19 died, who were not of the opposition but Chavistas, and this was seen as cause for overthrowing the democratically elected government. After Pedro Carmona is illegally given power in a ceremony filled with white business owners and priests (Watch here), Carmona declares the reversing of many policies and the dismissal of the National Assembly. He then initiates a second coup happens, “a coup within the coup” causing the liberal and religious groups which had supported Carmona to become excluded from positions of power in the new government. His support quickly vanishes, especially as by this time Chavez has been able to get out the message that he has not signed any paperwork giving up the presidency and his supporters have started to surround Miraflores. Coronil closes the article by reflecting on how it is that these events, highly contested in their interpretations, have helped to increase the political polarization about topics related to Venezuelan politics.

Aptly following this is Javier Corrales rational choice model analysis of the advantage a left-center government like Chavez has in increasing political discourse polarization which also includes a historical framework with which to understand it. Since the traditional channels of political power disintegrated in the period leading to Chávez’s election in 1998, the divide within the opposition has lead to their adopting a two-fold approach to how the movement against him should continue. One faction has pushed for a strictly legal policy that seeks to wrest power through elections while another has sought to cause disruption of the normal economic and social relations to provoke repressions that delegitimize the government and pave the way for a new coup. Such an example of this is found in the 2002 U.S.- backed coup attempt and the state oil-company strike (PDVSA). Worth noting is that not only did these policies fail, but helped to consolidate the positive direction of those ambivalent towards Chávez as they recognized to not do so would be to risk falling under the authority of another military dictatorship. Corrales shows how the increasing sympathy for the government message in the face of such trenchant opposition gave fertile conditions for Chavez to turn left and reenergize his base by co-opting ambivalent sectors. Corrales shows how this policy combined worked in the RCTV case, the 2007 referendum and the 2008 election and shows how the electoral strategies by Chavez and oppositions can be explained within this polarization matrix.

Gregory Wilpert’s article Venezuela’s Experiment in Participatory Democracy describes the varied composition of the new Bolivarian republic. In a sentence, Bolivarianism seeks to supplement representative democratic institutions with participatory democratic ones. The manner in which this has been done has been to encourage the growth of parallel, democratic decision making institutions at various levels of government. In this article Wilpert describes these participatory democracy organs, their relationships to each other and their relationship the country’s representative democracy institutions. These organs, it is shown, helps to root out corruption, audit the activities of government bodies and generally works to better the country’s infrastructure and encourage a more democratic society.

Social Comptrol (Contraloria Social), Citizen Assemblies, Communal Councils (CC – Consejos Comunales), and Local Public Plannning Councils (CLPP – Consejos Locales de Planificacion Publica) make up most of the parallel institutions that helps manage the states dispersion of resources as well as helps create an vibrant democratic culture that is broader and more robust than that found within representative democracy. These groupings break down based upon location of function and have secondary structures above them that facilitate their functioning with that of the government. The reason for this instead of an enlightened paternalism on the part of the Chavez administration is fun in the “Elucidation of Reasons” that prefaces the fifth constitution. Here it states that “participation is no limited to electoral processes, since the need for intervention of the people is recognized in the process of formation, formulation and execution of public policy; which would result in the overcoming of the governability deficits that have affected our political system due to the lack of harmony between state and society” (102).

The LPCC’s and missions that have been created outside of official government oversight to bring democratic decision making principles to the manner in which funds taken from oil revenues are distributed has not been perfect. As can be expected from any sort of project, private or public, achieving a maximum of efficiency has been difficult and there are institutional political actors who would act to bring about their failure so as to gain personally from it. Despite this, the missions are viewed overwhelmingly positive by Venezuelans, so much so that their continuation has been promised even by members of the Chávez’ opposition.When looking at some of the figures, taken not just from the Bolivarian government but those such as the World Health Organization, it becomes understandable why this is so. As a result of Medical, Water and other missions, there have been a large decrease in the number of children that have died from eminently treatable conditions such as pneumonia, diarrhea,

Wilpert illustrates some of the structural resistance to these organs proper functioning and how some political events, such as the publishing of the Tascon list, can counter their stated intentions. His assessment of these organs, however flawed, matches that overwhelmingly positive view also held by a majority of native Venezuelans. These programs have reversed feeling of cynicism and political apathy and have helped to create a country that, according to polling, has the greatest faith in democracy as a political program in South America. These policies, he shows, counters the military management culture of Chavez by de-emphasizing personalism, presidentialism and the paternalism of state bureaucracy and are also, Wilpert also notes that it is the growth of these participatory democratic forms outside of the government that have caused NGO’s such as Freedom House to claim that the country is authoritarian – even though Chavez has no role in the promotion of proposals to be carried out by the state. Their doing such is considered to be a result of their bias towards the North American model that posits representative democracy as the only viable form of government for a civilized country and their unwillingness to engage with the historical conditions of the country.

The subsequent article, Venezuela’s Presidential Elections of 2006: Toward 21st Century Socialism? illustrates the many positive markers of social health that have risen with the Chavez administration. Mission Mercal and Mission Rodriguez have decreased poverty, increased school attendance and decreased drop-out rates. Barrio Adentro has allowed for the exponential increase in access to health care and has spread it’s focus onto preventative measures that give the population a better comprehension of how to stay healthy. Mission Robinson I and II have sought to end adult illiteracy and offer those who are interested to finish primary studies. Water Community Boards (Mesas Tecnicas de Agua) have increased the percentage of the population with access to running water from 60% to 90%. Margarita Lopez-Maya and Luis E. Lander don’t simply trot out all the numbers that show the positive trends on the Human Development Index, but also show how within the electoral system itself there has been an increase in democratization. The constitution expanded the powers from the traditional three, Executive, Legislative and Judicial to include Citizen and Electoral. The latter of which American familiar with the working of the electoral college would find interesting due to it’s very progressive nature. The article than analyzes the message composition of the 2006 election and shows how Chavez wins almost unanimously in poor districts and loses in wealthy ones due to his support of increased autonomy to these sectors. Chavez’s speech around this election, which was the first time that he used the phrase 21st century Socialism, is then analyzed. He is shown as showing an admixture of both aggression and deep love for his opponents and describes his vision of 21st Century socialism as “native, indigenous, Christian and Bolivarian.” After the 2006 victory, Chavez then began the process of consolidating his supporters into the PSUV (Partido Socialista Unido de Venezuela), one of the “five engines” to move society towards socialism.

Subsequent articles, while eminently worth reading, go into comparative, detailed analysis of his spending policies, the initial capital flight followed by re-investment when arbitrary nationalization was no longer felt to be a threat, the growth of domestic private capital, the projects for increased regional integration, a Bank of the South that counters influence of the IADF and World Bank, Chavez’s disdain for Obama’s lukewarm support of “democracy” in Honduras following the military coup that toppled Manuel elaya, extensive details of the many achievements created by Barrio Adentro, and how despite the at times bombastic rhetoric that government has been sensibly pursuing an international relations policy designed to frustrate the operation of a unipolar global power structure. The book

Review of "The Enduring Legacy: Oil, Culture and Society in Venezuela"

Miguel Tinker Salas’ The Enduring Legacy: Oil, Culture, and Society in Venezuela begins with a Venezuela largely divided by natural terrain and facing moments of national unity only when regional caudillos were able to mobilize enough force to get a grip on the entire nation. Poor inter-regional communication and lengthy periods of travel amongst places make such occurrences difficult and their extension of power into the rural areas tenuous or nonexistent until modern technology was able to alleviate these problems. Juan Vicente Gómez Chacón, the military dictator between 1908-1935 leveraged these developments and the alliances that he’d made from his long tenure in the military to grab rule from his dictatorial predecessor Cipriano Castro and become Venezuela’s first modern president. Modern not necessarily because his junta was progressive in any sense but because it was able not just to use traditional income from patronage into projects but petrol dollars. Subsequent interpretations of Gómez have usually conceived of his policies as wily for his play of nations against each other for greater financial concessions for sub-soil access but still in essence a servant for extra-national interests,

With the first big discovery of oil in 1922 at La Rosa, a process of massive population migration, capital investment, infrastructure construction and transformation of Venezuelan politics begins. No longer is Venezuela a country just some minor supplier of agricultural products such as coffee because it won’t spoil on the long winding “roads” which required mules to move goods over the mountains but is placed within an international political and economic nexus. Oil is the precursor for modern industry. Oil is development. And oil soon starts dislocating large amounts of traditional communities and turning the government into a mediating force between outside corporations desperate for their crude oil and the people within these communities. The rhetoric within the country soon conceives of the government as a defender of it’s two-fold national body. There is the socio-political body and there is the large body of oil reserves that predicates the functioning of the government. The government’s dependence on oil revenues for it’s functioning creates a symbiotic relationship between them, the foreign extractive companies and the governments associated with them (predominantly American, British and Dutch).

In the process of developing the oil reserves for export, oil companies such as Shell and Caribe had to construct communities in the midst of the jungle. Their hiring practices consistently prefer foreign workers, mostly North Americans, for the advanced technical work, and use the native Venezuelans for manual labor. The creation of these petrol neighborhoods and the forms of living space they engendered had profound effects on the subsequent Venezuealan culture and values. The first wave of roughnecks that came in were mostly single men who cared about the natives only inasmuch as they could buy alcohol, prepared foods or clothes from them, hire them to clean their homes (if they even had them and weren’t sleeping in a hammock in a shack) and rent females by the hour for sexual liaisons. Conflict occasionally led to social unrest, be it from social causes such as drunk and rowdy drillers to environmental disaster, so the companies later sought to lessen this by the construction of fenced and guarded communities that would be considered desirable to live in by American standards and thus acceptable for families to be brought there by American workers. Summarizing his analysis of these and other trends, Salas states that “Beyond monopolizing the economy, oil shaped social values and class aspirations, cemented political alliances, and redefined concepts of citizenship for important segments of the population” (238). As the foods and the repasts of America came to become an indicator of cultural advancement, one of the reasons for explaining why, unlike the rest of Latin America, the national past-time is baseball and not futbol.

For my own interests, the latter part of the book contains the most compelling historiography and transition from an institutions and cultural studies approach to an analysis of political framing and civil society formation that illustrates the growth and functioning of a government “cursed” by such resources. Clientism, cronyism and nepotism abound in the political structure while in the quasi-private oil sector a supposed meritocracy reigns, a situation which Terry Lynn Karl poetically terms as the paradox of plenty. Having stated the obvious, how the American and British oil companies were in a symbiotic relationship with the Venezuelan state due to the latter’s reliance on oil revenues to function, Salas then illustrates how the capital to initiate a wide array of Venezuealan cultural outlets and political organization originated from the oil companies, how they sponsored surveillance networks to monitor leftist activities and promoted individualistic, corporatist values in their publications. Caribe sponsored schools, university posts, the construction of churches, radio and television broadcasts and infrastructure, magazines, newspapers, etc. One purpose of such publications was the creation of a unified cultural conception of what it meant to be “Venezuelan”. Bringing together the experiences within the andinos, the llanos, and the oriente under one coherent conceptual framework had much the same effects as the conceptions of the polis as “cafe con leche”. The divergent experiences were minimized and the notion of a single “people” came to the forefront.

The notion of the nation created, however, was not just inclusive of these but also exclusive. It was inclusive in the sense that the oil companies were promoted as the key component as to how it was that the nation was becoming “modernized”. Though the companies themselves were foreign, they defined themselves and hired multiple public relations firms to cast them as benevolent for their bringing up “the people” out of poverty and subsistence agricultural production. That vast numbers still lived in grinding poverty was not even mentioned. Additionally, the values propounded on the radio and television programs and in the papers excluded certain qualities as being proper to the economic order and thus indicative of atavism still present within the population. The qualities denigrated were not just those anathemic to regularized business practices, such as tardiness, conflict, non-“Christian” behavior as well as race. While the latter illustrates the desire for a docile, responsible labor force the latter speaks to the fat that Afro-Venezuealans and Trinidadians, while within the social-economic nexus of oil extraction, were largely confined to manual and house labor if able to gain steady employment at all. Their marginalization meant that during period of economic downturns they were the most at risk. While Salas does not focus much attention on the Chavez phenomenon in the book, he does define the motivation and forces supporting him as largely coming from those marginalized both symbolically, economically and politically and representing a new conception of a modern Venezuela that is not solely dependent upon it’s natural resources to function as an economy – because such functioning in fact greatly harm to those not fortunate enough to join that sector.

Review of "The Underdogs"

Mariano Azuelo’s novel The Underdogs was first published in 1915 and is an account of the revolutionary war in Mexico against the Federal government of Porfirio Díaz. The novel predominantly follows the military actions of bandit-turned-general Demetrio Macías, against the Federal government and the manner in which his armed forces are housed, fed, paid, disciplined and interaccaudt with themselves and others segments of Mexican society. In the account of Demetrio’s rise it is possible to see the historical context of caudillismo and the structural limitations for enacting progressive development once the economic and political contradictions of dependent development have been contested. To the first point of caudillismo, we can trace it in the brief career of Demetrio, who leads a small rebellion for personal gain and then decides to join the “formal” army simply in order to potentially gain more. The second issue is shown in the environmental, institutional and social destruction as a result of the civil war itself.

We first encounter Demetrio and his band in armed confrontation with the federal troops. Demetrio is shown to be brave, strong and charismatic to those under his command. He frames his participation in the rebellion in a moralistic personal narrative devoid of notions of class or national solidarity. This desire for revancha similarly motivates the other members of his band that too could be taken as archetypes for the historical context within which they find themselves. Their attacks are not coordinated with any of the other forces fighting against Díaz in the country until they are joined by Luis Cervantes.

Luis is an outsider, both from his previous advocacy of conservative positions, as is evident from his writing in the El Pais and El Regional newspapers, and his class background, his parents could afford to pay tuition for him to be a medical student. Additionally he is described as having a handsome appearance, likely preserved from not engaging in taxing manual, agricultural labor and having a certain reservedness. For these reasons he is given the name Curro, or handsome, which could be interpreted as referring both to his looks and his refined habits.

However these do not alone compose his variations from Demetrio’s group. He states his decision to join forces with the revolutionary band is for idealistic reasons rather than naked material interest. Azuelo shows how ambiguous such a commitment is, however, in providing a backstory that shows Luis previously in the company of the government troops and deciding to desert after being humiliated by his commander, learning how many of the troops were untrained farmers pressed into service and how profitable the side of the rebellion could be. This last consideration is unknown to the group and thus he is viewed according to all in the band as being “made of different stuff”, which in this context means being looked up with suspicion. Despite this, or perhaps because of it, he soon becomes a mouthpiece for the values proclaimed by revolutionary leaders such as Villa and Zapata. While not specifically citing the Plan of Ayala as a motivating force for his action, he states “The revolution is for the benefit of the poor, the ignorant, those who have been slaves all their lives, the miserable ones…” (15).

Though Curro is new to the group and an outsider, his capacity for ratiocination is also recognized. When determining the next plan of action, Curro is able to convince Demetrio not just to be an insurgent, but to make an effort to join the revolutionary army of Natera so as to gain position within the new political organization. On this point he states to Demetrio:

“You are generous, and say: “My only ambition is to return to my land.” But is it fair to deprive your wife and children of the fortune that the Divine Providence is now placing in your hands? Is it fair to forsake the motherland at the solemn moment when she will need the abnegation of her humble children to save her, to keep her from falling into the hands of the eternal oppressors and torturers, the caciques?” (25-26)

Leaving aside the ambiguity of Curro’s commitment to egalitarian reform, in the crucible of Mexican class struggle that Curro has entered into his propounded values are soon confronted by the material realities and he soon transitions to an opportunistic pragmatism. The reasons for this are best voiced by an acquaintance, Sr. Solis, he meets in the camp of Natera. Before he is shot in battle, Solis states that “you either become a bandit like them or you leave the stage and hide behind the walls of a fierce and impenetrable egotism” (38). Stripping the abstract to its materiality, we see that Solis refers to a series of behaviors that Luis also witnesses that could be summed as lack of revolutionary discipline.

The men which are leading the military charge are not just querulous about their socio-economic position but also amongst themselves, their aggression leads to in-fighting that, when exacerbated by alcohol, lead to murder. They display their anti-intellectualism by cooking corn with books, destroying art and breaking objects such as crystal chandeliers simply because they are manifestations of the surplus capital extracted from peasant labor. The chain of command becomes difficult to maintain. There is tension between the insurgents and those that have abandoned their roles in the Federal Army that is compounded by the anti-hierarchical sentiments unleashed by the revolutionary cause. The role of women in the novel not only shows their marginal status within a society dominated by males and naked force but becomes yet another point of differentiation between Luis and the “revolutionary” group. After Luis finds a “currita” that he expresses the intention of marrying, she must lock herself away from the other men for fear of rape. This romantic subplot also highlights the recurring tensions, distrust and conflict that exists between city and urban-dwellers.
As these variances in acculturation accumulate, Luis realizes that his “place” in the revolution is not to be found amongst the armed services but in the urban, professional class. At this point he begins to trade loot with the other members of the group to get the most valuable objects and hides some of his loot from them. Demetrio catches him, but does nothing as Luis manipulates the impoverished leader’s rich moral self-conception by offering to prove his loyalty to the group by offering him his take, which is declined.

After Luis has accumulated enough loot he decides to leave the group. Realizing that the best use of the capital he has accumulated from his time with Demetrio would not be in unstable, impoverished Mexico, he relocates to Texas and invests in the completion of his medical studies. This depiction of capital and intellectual flight is not unique to this historical situation but a trend that still occurs in many Latin American countries. With Luis gone, Demetrio has no compass with which to interpret the vicissitudes of power politics. When asked by Natera who’s side he is on, the Carranca or Villa, his response is to recognize his ignorance on the matter and state that he will follow whoever Natera decides.

In the closing section of the novel the cost of the conflict takes on a greater potency. No longer is the conflict just between the opposing forces but between the purportedly liberated and themselves as well as them with the land. The fighting has claimed so many lives and horses that it has slowed or stopped agricultural production, the legacy of theft and pecuniary speculation has harmed trade and caused peasants to now prefer commodity to money exchange. The novel closes with a deep pessimism as to the future of the movement, best expressed by Demetrio himself. Demetrio returns home to his wife and child but finds that he no longer desires to do the farm work that helped instigate him to take up arms. Furthermore he starts to believe the grandiose, conquerors mythology he created about himself and when asked by his wife why it is that he continues to fight, he has no noble response but simply points to a stone he has just thrown and says: “See how that pebble can’t stop…” (86).

On a final note I think it’s worth commenting that the predominant translation of “Los De Abajo” has been “The Underdogs”. While I agree that the band depicted were “the underdogs” in the fighting that transpired, I believe that my short analysis of the novel indicates that Azuela did not intended this interpretation that these people were simply “those from below.” This is evident in the fact that the one surviving middle class characters, Luis, become so disgusted by what he witnesses that he deserts and the depiction of the rebels as brave, but ignorant bandits that cannot build but only destroy.

Review of "Hugo Chavez and the Bolivarian Revolution"

Richard Gott’s book Hugo Chavez and the Bolivarian Revolution is a highly readable account of the rise of one of the most controversial politicians in recent Latin American history. Gott provides a topical historical contextualization as to why it was that the previous constitution was viewed by so many Venezuelans as insufficient to their current social conditions and how it was that the dominant political parties within the country were not able to mobilize enough support to maintain popular credibility and soon withered away.

Gott lucidly shows that Chavez’s rise was a long time in the making due to the problematic internal dynamics of the country and focuses cites as evidence of it’s disorder the caracazo. While the collapse of the Berlin wall received the lions share of the world’s attention due to the implications it had in the Cold War, for Venezuela the caracazo was an event of equal importance. The riots and social unrest unleashed following price adjustments for public transportation in the poorer sections of the city spread out soon leading to the mobilization of the military to quell it. Following the soldiers quashing of unrest, the disintegration of Carlos Perez’s presidency and his Washington Consensus conceived policies of neoliberal reform was soon forthcoming. This event accelerated and deepened the commitment of political actors, especially those in the military, to look for new ways of creating a Venezuela that wasn’t so sharply divided by class.

Chavez’s attempted coup, his subsequent forming of political bonds and the subsequent formation of a 5th Republic Movement give better understanding into the wide support that Chaves has received there. It is in fact noteworthy that even at a time when there were no “Chavistas” in the state apparatus and as a new-comer, in the December 1998 elections that brought Chavez to power he received 56% of electoral votes while the next closest parties receiving 36% and 4%. Narrating the second coup attempt by reactionary elements in the business community and military showcases both his popularity as well as the degree to which the political edifice once in place had deformed. Following his election, Gott illustrates the role that political interest and community groups played in the writing of the new constitution and how it was that the Chavez government actively sought to incorporate previously marginalized communities into the polis, mobilized the military for community development and increase social spending.

In addition to this background, Gott, based upon numerous one-on-one interviews with the now deceased former president, contextualizes the intellectual context in which he operated. Eschewing the quasi-Marxist rhetoric of his friend Fidel Castro, Chavez has instead sought to resuscitate a 19th century revolutionary tradition epitomized by three Venezuelans: Simon Bolivar, Simon Rodriguez y Ezequiel Zamora. Giving the historical context of these three situates Chavez in such a way that he is not some lone, charismatic figure amongst a dark past but one of many in a tradition seeking to reign in the gross inequality that began with the Spanish system of slavery which transformed into quasi-colonial relations with European and American companies for oil exploitation.

Gott cannot be seen as attempting to minimize the radicalism of Chavez through this, for at no point does he obscure the fact that much of the support for him stems from former left-wing radicals. In fact, as he clearly believes that “it is impossible to understand the historical roots of Chavez’s success without reference to the powerful anti-Stalinist communism of De la Plaza and Miquilena that was to influence important sections of the Venezuelan left in the years after the 1940s” (79). People with Trotskyist leanings, such as former governor William Izarra, and former members of long de-mobilized guerilla groups helped shove him into power.

The depiction of a cult of personality around Chavez is common in writings and perceptions of Venezuelan political culture. Considering the country is only recently becoming largely literate, I’ve engaged in several conversation with people who claimed that this was the case there. While Gott’s writings do not go into detail on this fact, it is very clear that not only is there a right-wing oppositions but there is a left-wing opposition to Chavez as well. Ultra-leftists are critical of the manner in which Chavez has sought to actualize progressive policy within the country without enacting immediate, wholesale changes. Chavez has been derided by many of his former supporters as unnecessarily gradualistic and too accommodating, especially to the oil interests. While he was successful in winning the populations allegiance during the petroleum strike of 2002, he also decided to pay for national control of oil sites that had been sold by corrupt politicians to international oil companies rather than simply nationalizing them without recompense.

While Gott does not go into much detail regarding the success or failures of the Mision’s Chavez launched, he is both praising and critical of their functioning. As with the other historiography, Gott limns several of the conditions that are beyond Chavez’s capacity to influence in the short term that make the goal of this mision’s difficult. For instance, one of the tasks of the Chavez government has been the encouragement of movement of the urban poor into the agricultural sections of the country that have long been underused. The reason for this is simple, despite large amounts of fecund land the country’s abundant petroleum wealth artificially increases costs and makes food importing more cost effective. The government would rather, of course, have less people involved in the underground or parallel economy and put to use the land. Lacking capital investment for facilities and equipment, combined with the general preference for urban over rural living, this has been difficult. While government investment has been made in the region for housing and other facilities, actualizing his Plan Bolivar 2000 has been problematic and lead to those structures degenerating. It is not all failures, however. Other projects, such as his successful push to revitalize OPEC and lead to greater oil revenues for the government, are also highlighted.

As a book for understanding the past twenty years of Venezuela’s political climate as well as the Chavez phenomenon I highly recommend the book.

Review of "Liquidated: An Ethnography of Wall Street"

Karen Ho initiated the fieldwork for Liquidated: An Ethnography of Wall Street by obtaining employment at Bankers Trust NY Corporation, a Manhattan investment-banking firm, for 6-months before she was eventually “restructured” out of employment there. Ho utilized kinship bonds via colleagues she’d met during her undergrad and graduate degrees at Stanford and Princeton and the aura of “smartness” attached to those institutions much in the same manner that the majority of young investment bankers did to obtain their position. She than expanded the scope from her own experiences to include those that she interviewed via contacts she made over a three-year period.

Ho connects this portrait of embryonic and low-level finance culture illustrated to traditional historical writing that limns the development of the American corporations divergence from stakeholder models of business to the prioritization of shareholder value. As Ho shows, in sections that would make good companions to excerpts from Balogh’s A Government Out of Sight, this perspective emerged first as a result of legal rulings contesting the nature of who the modern corporation was meant to serve – the public interest or the private shareholders. What develops is a judicial imperative to serve the former no matter the cost to the latter and the adoption of a financial model that concerns itself solely with the bottom line shown in quarterly reports rather than the long-term prosperity of the corporation, its employees or anyone else otherwise connected to them. The implications of these rulings have huge social and economic effects, ones leading to increased “liquidity” justified, at its base, by the need for increased capital return. Shareholder value, however, is not just a business practice but, like that of Christian free enterprise, has a moral tenor to it. It “…meant more than raiding the stock price of a corporation, it also signified a mission statement, a declaration of purpose, even a call to action. Creating or reclaiming shareholder value was morally and economically the right thing to do, it was the yardstick to measure individual as well as corporate practices, values, and achievements” (Ho 125).

Using the language and conceptual framework of the dismal science, economics, this rhetoric encouraged illogical corporate mergers and hasty leveraged buyouts that served to temporarily boost stock prices, while simultaneously rendering thousands unemployed, millions of dollars of corporate assets stripped, and driving the longevity of hundreds of corporations straight into the ground. This viewpoint additionally glossed over the inescapable interconnectivity between financial actors, neglects numerous other stakeholders and glossed over the “smartness” of those running the business about to be purchased by a conglomerate with that of the fresh faced newly grads incentivized to continuously be breaking apart and putting together new combinations.

Ho discusses this shift away from the stable corporation dominated market of the 1950’s and 60’s with an almost nostalgic tone, mourning the marginalization of the perspective that the combination of government regulation and corporation as social bodies offering its citizens/employees certain forms of stability and protection from the market forces. With the increasing emphasis placed upon the individual to guard against all possible outcomes, this is understandable. Freedom is not just that ability to do as one pleases but to be free from imposition, be it levies or need to engage in increased attention to myriad economic indicators due to the deinstitutionalization of financial security within the private and public sector.

In this vaguely concerned as to the state of business affairs vein, Liquidated is akin to To Serve God and Wal-Mart and Liar’s Poker, where we see an insider account of the business practices constituting the markets and culture of neoliberalism. Ho, however, differentiates itself by delving further into the abstract rhetorical practices used within the industry to obfuscate the social and material realities that conceptualize businesses as “too big to fail” and individuals are “too small to be cared about.”

Review of "To Serve God and Wal-Mart: The Making of Christian Free Enterprise"

Bethany Moreton’s book To Serve God and Wal-Mart: The Making of Christian Free Enterprise historicizes the Ozarks region, showing how the growth of Wal-Mart was related to the yeoman ideal and a feeling of resentment towards Northern bankers. Legal mobilizations occurred in these regions against northern owned chains coming in during the 1920’s as a means of “preserving competition by denying the combinations their unfair advantages” (Moreton 17). During a period of economic hardships mandating thrift and with the development of a “home-grown” chain that is able to produce a quasi-Christian image reflecting the values of the community – Wal-Mart is able to become successful. These two developments are intimately related. As U.S. manufacturing jobs moved abroad (a process dealt with in more detail in Judith Stein’s A Pivotal Decade) it created shifts in economic subjectivity, largely by creating the need for households to have multiple income earners. This occupational/economic context was addressed by Wal-Mart’s low prices and employment opportunities. Management positions are prioritized for men emerging from Christian colleges while service labor positions were offered to unskilled women, not as a means of obtaining economic self-reliance but as a means for supplementing the primary income of their husband. With the both adult members of the family working, childcare was now often delegated (externalized) to immediate family and community members, a situation that was celebrated as it encouraged the values of the hearth rather than the market. Moreton’s focus on description rather than valuation can lead the reader to believe either that those believing the servant-leadership model proselytized by Wal-Mart aren’t dupes operating within the confines of false consciousness but adherents to a new “Christian” system, or that they are. It is this ambiguity, I believe, that made the book so popular by readers that weren’t strictly speaking academic (it’s the only academic book that I’ve ever seen at an airport book store).

That ambiguity of the text laid out, I think it’s important to note that Moreton’s description of servant-leadership seeks to supplant previously existing populist ideologies that were antagonistic to “the feminization of labor”. Lower wages are here naturalized, supplemented with notions of personal benevolence on the behalf of the employer and social conservatism. The concept of the servant leader is an alibi within a structurally static hierarchy that reinforces gender norms of men as leaders and women as subservient. Moreton also shows how such an operational ideology helps create the strange alliance between evangelicals and military hawks, due to the valorization of obedience and the conflation of capitalism with Christian values.

Moreton doesn’t just rely upon the oral histories and available literature but also shows how as Wal-Mart expanded they sought to recreate the practices that originated in the Ozark region in their competitive quest to be the dominant chain retailer. Specifically, through their associations with groups such as the Business Round Table and financial donations to school’s M.B.A. programs, Wal-Mart sought to counter-act the anti-capitalist sentiments created by a higher level of education. Through a result of their combined efforts: “By 1981, graduating business majors already outnumbered their classmates in all languages and literatures, the arts, philosophy, religion, the social sciences and history combined” (Moreton 151). The emphasis of this education was of an explicit anti-leftist orientation and these courses promoted mythologies rather than material realities.

In a final note, I want to argue against claims that “Christian free enterprise” is not defined by Moreton. As I’ve tried to show in the above exegesis of the text, it seems to me that the word is a positively conceived code phrase for “neo-liberalism”. Whereas Liar’s Poker is an account of the pursuit of money as a religion, here we see an ideology in which it is more important to pursue religion and money is secondary to the social relationship in which it is made. In this way those that would say the phrase is an oxymoronic trope are correct – for it elides the sites of Wal-Mart’s production and numerous of Christianity’s generally accepted values – but that doesn’t mean it isn’t operative in the manner in which Moreton outlined.

Review of "Liar's Poker"

Liar’s Poker by Michael Lewis is a first person account of his employment with Salomon Brothers during the time that a number of new financial instruments such as mortgage backed securities and junk bonds were created. In contradistinction to the books that we’ve read thus far this semester, with the exception of a section of Galambos, the book is unique in it’s insider insights into the culture and context of these developments as well its colorful character descriptions.

Lewis memoir is in a way a eulogy for Saloman, which was purchased by Citigroup in 1998. By recounting the many ways it was unable to properly manage its growth, diversify its offerings when new ones were created, create a stable, sustainable staff Lewis shows how the company analysts had trouble looking at themselves. The listing of the sophomoric pranks, culture of fatness, lack of seriousness on behalf of the trainees, inability for upper management to maintain talented employees, the internecine departmental conflicts leading to purges of talented people as well as the desire to project a grand image in new and emerging markets (London) that hadn’t yet wholeheartedly embraced the New York model reads like a litany of decadent symptoms that would have been cause for it’s buyout and dismantling by those such as Michael Milken, who did try to do just that.

In the tight focus on Saloman, it’s investors and the companies it interacts with the broader economic implications fall by the wayside. For instance, one of the topics which has been discussed extensively in class has been the government’s regulatory relationship to markets. We learn that Lewis Ranieri was instrumental in creating the framework for the national legality of mortgage bonds by transforming the state-to-state legal codes presiding over such issues into a national one.

While in accordance with mass-market consumers values, the book is light on it’s citation. It’s not just the foregoing of an annotated bibliography, but the stating of certain events and circumstances happening without giving much background. I think this a strength as it does not scare away the casual reader, but an annotated companion piece, preferable free and posted on the author’s website, would be a welcome addition to those interested in following at least some way down a path of further inquiry.

Review of "On China"

As President Nixon’s National Security Advisor and interlocutor in the process that helped China transition from inward-directed autarky to export-oriented international player on the world stage, it is of no surprise that Henry Kissinger’s On China presents a compelling account of the country’s history that is both fond and insightful. Some reviewers of the book have called it excessively idiosyncratic, but considering the wealth of history lived by the author and the credentials of the presented by the team that helped him research it I don’t find this to be an issue. Kissinger frames their history prior to his dealings with Chinese diplomats not so much to give a total history of China, but to saliently frame the political issues that relate to the initiation and maintenance of positive diplomatic relations.

Kissinger views both the US and China as countries with national perspectives defined by their exceptionalism, though in drastically different ways. Whereas America imagines that it’s set of democratic values are eternal, judges other countries according to it’s particular moralistic standards of the moment and in a missionary sense seeks to replicate it’s values in other places, China doesn’t hold that it’s values are applicable anyplace else. The actual geo-political results of such a belief system backed by their economic dominance are substantial. Prior to the European’s development of heavy naval warfare, the Chinese were the dominant world power that were so self-content and uneasier to impose themselves on others that they deconstructed their naval fleet following a Mediterranean tour where they gave out wealth to the ports they stopped at as they were under the impression that there was nothing outside of the Middle Kingdom that was not already there. This is not to say that they weren’t afflicted by barbarian, semi-nomadic hordes, but that prior to their feeling the effects of industrial revolution age weaponry, there was nothing that particularly interested them and foreigners were to only be admitted to the country at certain sites at certain times of the year.

The Chinese long sense of history of provided a framework for patience and endurance of many terrible circumstances while their particular geographic position helped imbue specific conceptual insights that is perhaps best seen in the game of Go, a game that makes Chess seem positively sophomoric. On this latter point Kissinger points out similar insights as Deleuze & Guattari, but also includes throughout this diplomatic and political history of China with great effect. On the former issue we also see throughout how it is that the economic and political maneuverings of the CCP were in part informed by the wealth of their cultural and Confucian past. For instance Kissinger explains that within the Confucian principles that have guided China’s course for thousands of years, until the century of humiliation and their anti-imperialist struggles, the nation’s “spiritual fulfillment was a task not so much of revelation or liberation but patient recovery of forgotten principles of self-restraint. The goal was rectification, not progress” (14). The writings of Confucius emerged from a period in which China was again being reunified following a breakup of it’s historical land mass – a similar set of circumstance prior to Mao’s unification of the majority of China. Additionally, Kissinger tell of several instances wherein classical Chinese literature is used to inform political policy and states that “Mao owed more to Sun Tzu than to Lenin” (102). One such example tells how several disgraced General’s justified their position on whether or not to attempt to open to America due to the Chinese fear of China by referencing classic books then banned due to the Cultural Revolution. Amusingly enough, having based their sense of geopolitics on balance of forces model of the Westphalian system, it was these types of decision-making processes that made it so difficult for Russia and the United States to understand their strategic maneuvers.

The descriptions of the various summits designed to normalize relations between the country as fascinating.The manner in which Kissinger describes how a “communist” country was able to reconcile with a “capitalist” one, the shifting alignments amongst countries in South East Asia, Stalin’s masterful strategies for influencing Asia and how it is that the Chinese were able to use small acts to obtain large benefits are just several aspects of the modern period worth highlighting. Furthermore, in this period the 2011 J.P. Morgan Summer Reading List sticker on the font cover of my book began to make more sense to me (I bought the book used from Amazon). How to deal with the management of various crises as well as strategies for continuing fruitful, productive relationships despite temporary and essential set-backs is something that Kissinger can go into at moments without appearing didactic but simply helpful. Additionally, the section on Deng Xiaoping’s assumption of power can be seen as a compelling call to the benefits of reform for the purpose of unleashing creative energies and destroying the old, limiting prohibitions that left the country in poverty for the sake of ideological purity.

One of the surprising aspects of the text for me was the respect and deference towards which Kissinger displays towards the Chinese communists, especially Zhou Enlai and Mao Tse-Tung. Mao, like Stalin, is still a bogeyman in many a political circle but, unlike Stalin, does not receive the Kissinger’s approbation. One could say that this could be explained away by Kissinger’s concerns towards maintaining positive diplomatic relations following his having spent a significant portion of his career on creating and sustaining meaningful dialogue – however I do not think this to be the case. I claim this as Kissinger does highlight what he sees as some of Mao’s negative qualities, such as his circuitous and philosophic manner of speech, yet simultaneously claims that it was his fearlessness towards nuclear weapons that kept other countries from invading, that the high death toll during the three difficult years was not the fault of the CCP nor even exceptional in the history of the region and that to an extent the conflicts of the Cultural Revolution were impossible to avoid unless China wanted to risk another civil war of greater intensity than before. Scene such as Mao’s entreating of Khrushchev to discuss the return of portion of China taken by Russia with him in a swimming pool rather than a meeting room are evokes moments that are humanizing and humorous, as Khrushchev, who could not swim, was forced to wear water wings.

Two final notes partially related to On China. Firstly, this is the second book of Kissinger’s I’ve read and I must admit that like Diplomacy, Kissinger again shows here that he is an excellent stylist as Churchill was. Kissinger’s pre-revolutionary history of the China is, despite it’s brevity, a paean to Chinese culture that unlike few other books made me feel ashamed for knowing so little about the oldest human civilization. I knew various aspects about it, such as it being the first institutional meritocracy, their non-expansionist politics, etc. but admit that after reading this I yearn to learn more. While I’ve no intentions in becoming a Sinologist, and will likely read Red Star Over China, which currently sits on my shelf, prior to anything else due to my desire to now learn more about their re-independence I must admit what little bit I learned here about Mandarin culture makes me want learn more, be it by reading the classical Chinese novel such as Outlaws of the Marsh, Journey to the West, A Dream of Red Mansions, and Three Kingdoms or some other text that I’ve yet to pinpoint.