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Brazil’s manufactured coup: the ‘Shock Doctrine’ returns to Latin America

The Global South is growing unintelligible from the European South amid harsh austerity measures and other maneuverings that suit the rich and powerful at the expense of the poor and working class.

by Michael Nevradakis

Part 4 - The ‘shock doctrine’ returns to Latin America

In her 2007 book “The Shock Doctrine,” Naomi Klein highlights how the global capitalist class uses crises and disaster situations — both real and invented — as an opportunity to pounce upon suffering countries when they are at their weakest, imposing harsh austerity christened as “free market” policies and imposed, when necessary, by force, including police violence and brutality.

This has been characteristic of Brazil following Rousseff’s impeachment and Temer’s takeover.

It has also been characteristic of the crisis-hit countries of the European South, where protesters in Greece have been dispersed and stunned into submission by tear gas and police violence which invariably goes unpunished, while riot police enforcing home foreclosures is a common sight in Spain.

Klein traces the origins of the “shock doctrine” to the neoliberal doctrine first espoused by economists such as Milton Friedman, the father of the “Chicago School” of economics, which Latin American countries such as Chile became intimately familiar with under autocratic regimes such as that of Augusto Pinochet.

It is ironic, therefore, that Klein openly and vocally supported the Syriza government prior to the January 2015 elections in Greece which first brought it to power. But she has remained conspicuously silent since then, while Syriza has continued the policies of its predecessors. Nevertheless, the “shock doctrine” serves as a useful guide to explain what is happening in such countries today, including Brazil.

In another one of his analyses on the Brazil situation, Escobar classified Brazil as a victim of a “hybrid war” launched by the world’s neoliberal elite one which is also targeting other BRICS nations such as Russia.

How has the “shock doctrine” unfolded in Brazil?

With a lot of shock, and a lot of awe, to say the least.

A 20-year federal freeze on public spending was almost immediately imposed by the Temer regime, placing caps on spending for health care, education, and social expenditures and shrinking a welfare state which, according to Moreno, was already much more limited than its European counterparts. This was followed up by the announcement of job cuts in the public sector (despite rising unemployment which has more than doubled since the country’s recent economic peak), and a special “Christmas gift” for Brazilian workers: the expansion of the workday from 8 to 12 hours, complete with a reduction in the lunch hour.

This closely resembles the sharp reduction in pay, dismantling of collective bargaining rights, and massive layoffs which have been seen in countries like Greece. (There, pensioners were treated to a “Christmas gift” of their own by the Syriza-led government: a paltry “Christmas bonus” used by the government as a ludicrous PR stunt after it had already slashed most pensions by approximately 50 percent in 2016 and announced further tax increases for 2017.) In Brazil, environmental regulations have also been scrapped or relaxed, posing a particular threat to the country’s indigenous peoples.

In a rare moment of frankness, Temer told an audience of business and foreign policy elite assembled in New York in September that Rousseff — who was no radical while in office — did not go “far enough” in implementing the harsh economic reforms demanded by Temer’s party.

The new Temer government does not feel itself constrained in any way in terms of going “far enough.” Corruption charges are now being faced by da Silva, who currently leads overwhelmingly in opinion polls for Brazil’s next presidential elections, and members of his family.

Not even bothering to keep up appearances, Temer’s appointed cabinet consists exclusively of wealthy white men, while his government attempted to legislate self-amnesty for itself in September — a privilege already enjoyed by members of the Greek parliament and Greek government ministers, who are immune from prosecution for any crimes committed while in office and who regularly “write off” internal parliamentary investigations into previous governments’ wrongdoings.

This comes as the Temer government, which led the ouster of Rousseff on corruption charges, is itself facing corruption scandals.

In such a climate, it is inevitable that corruption will “trickle down” to other sectors of society. Brazil is currently said to be experiencing a far-right resurgence, shattering the common image of the country as one of racial inclusiveness and harmony.

Tourists to Brazil now have the unique opportunity to visit a real-life plantation and be served by black “slaves.” Police violence, already a major problem under the Rousseff administration, continued to grow in 2016 and 2017. There’s also the increasing prison riot crisis, which has been encouraged by elements within Temer’s government who view it as an effective means of culling the population in the country’s overcrowded prisons.

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