Chilean President Faces More Challenges in Second Year
Chilean President Faces More Challenges in Second Year
“In part President Bachelet has been a victim of high expectations, having left office with a really high approval rating and a strong economy,” points out COA’s Eric Farnsworth.
Chilean President Michelle Bachelet starts her second year in office on Wednesday facing declining popularity, continuing resistance to her reform agenda, and more recently allegations of corruption within her family.
After taking office on March 11 last year, for a second nonconsecutive term, Ms. Bachelet quickly set about passing measures aimed at reducing inequality, including an overhaul of the tax code to fund an education reform.
A strident tone from the administration caused early concerns that the government might bring in radical changes to Chile’s famed consensus-building process in setting policies. But political analysts say that Ms. Bachelet’s left-leaning administration has showed enough flexibility to reach deals on policy....
Ms. Bachelet’s second term has also been marked by a lower price for copper, the nation’s main export, which has sapped investments in the mining sector. Gross domestic product expanded 4.1% in 2013, but estimates point to it having likely grew by less than half that last year. A central bank survey of economic analysts sees growth of 2.8% this year.
“I think the first year has been a qualified success. In part she’s a victim of unreasonably high expectations, having left office last time with a really high approval rating and a strong economy,” said Eric Farnsworth, vice president of the Council of the Americas and Americas Society. “But the economy has softened since then even as middle class expectations continue to rise....”
