Venezuela

1
Venezuela

• Democratic Governance in Oil-Rich Country What
  went wrong?

2
Key Issues

• Long Stable Two-Party System
• Oil-Rich Economy
• Hugo Chávez Frías
• Populism Democracy?
• The Limit of Democracy
• Requirement of Democratic Governance

3
History Political Economy

• Transition to Democracy
• 1925-35 Juan Vicente Gómez (Dictator)
• Foreign Oil Interests technological imperium
• Oct. 1945 Coup by junior military officers
• Acción Democrática (AD) took control
• Radical, leftist
• Nov. 1948 Coup Rómulo Gallegos ousted

4
Dictator ADs Come Back

• New Military Regime the Cold War Doctrine
• General Marcos Pérez Jiménez (1952-58)
• Petroleums Curse Insider and Outsider
• 1957 Economic Crisis US Support
• Jiménez exiled
• 1958 Election ADs Rómulo Betancourt President

5
The Petroleum Roller Coaster Institutional
Stress

• Punto Fijo Democracy (1958-1998)
• Oil Boom until 1982
• At times, more than 80 of government income from
  Oil
  
• Distributive Politics was possible
• Alternate Presidency between AD COPEI

6
The New Departure Its Consequences

• 1989 Carlos Andréz Perez Presidency
• Austerity Plan
• Neo-liberal Economic Policy
• Military Politicized
• Fight between high ranking officers and lower
  ranking officers

7
Bolivarian Military Movement

• Feb. 4, 1992 Coup attempt almost successful
• Nov. Second Coup attempt
• 1997 the Fifth Republic Movement (MVR) to support
  Hugo Chávez Frías for 1998
  
• Collapse of COPEI AD Malfunctioning of Punto
  Fijo Democracy

8
Populism or Democracy?

• Hugo Chávez 57 of popular vote in Dec. 1998
  Election
  
• New Constitution July 1999
• Prospect Hugo Chávez Democracy