Neo Liberalism
Neoliberalism is the ability to globally trade, prosper and develop fairly and equitably among other countries. Neoliberalism policies allow for countries to import/export goods and services, trade and settle debts among countries. “Neoliberalism policies stress privatization, export production, direct foreign investment, and few restrictions on imports” (Rowntree, Lewis, Price, & Wyckoff, 2008). There are several Latin American countries who are accepting the neoliberalism ideology; however, there are some countries like Peru and Bolivia who are not embracing the neoliberalism philosophy. “Recent protests in Peru and Bolivia reflect the popular anger against trade policies that seem to benefit only the elite” (Rowntree, Lewis, Price, & Wyckoff, 2008). This essay will discuss neoliberalism policies in depth as well as neoliberalism in Latin America. Furthermore, this essay will discuss the issues that prevent neoliberalism in Peru and Bolivia. The intent behind neoliberalism policies is to remove control from the government and allow more freedom to the private sector. “Broadly speaking, neoliberalism seeks to transfer part of the control of the economy from public to the private sector, under the belief that it will produce a more efficient government and improve the economic health of the nation” ("Neoliberalism," 2010). Simply, the point of these policies is to provide a healthier government and allow the development of underdeveloped countries. According to Elizabeth Martinez and Arnoldo Garcia of corpwatch.org, “The main points of neo-liberalism include: The Rule of the Market, Cutting Public Expenditure for Social Services, Deregulation, and Eliminating the Concept of ‘The Public Good’ or ‘Community’” (Garcia, & Martinez). The idea behind the rule of the free market is to allow the private sector to be free from governmental regulations. A free market system is beneficial because it calls for economic growth. “An unregulated market is the best way to
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