Salvador Allende's Influence On Chile

Salvador Allende’s presidency had a large significance in Chile. His initial strategy was to freeze prices of products and raise wages. The result of this was immediate and there was a boom in consumer buying. This caused a short term of redistribution of income. Allende prioritized the complete nationalization of the copper companies and also extended control into other economic divisions. For example, nationalizing the coal and steel industries, owned sixty percent of banks, and the government took more control over small firms and businesses. This expropriations helped his presidency and was able to support Allende’s socialist economic strategy (Green, Skidmore, and Smith). However, the expropriations came along much faster than the government’s ability to ensure credit access to supplies and equipment that small firms and business owners needed. Civilians also began to seize the land on …show more content…
It informed leaders about the importance of democratic procedures. It also shows that political leaders should open up a legal system that reflects the popular interests of the citizens of their country or state rather than focus on elite corporations and exploitation of a country’s means, like copper or steel. It also displays how government intervention on private property or government ownership of small firms and business can effect citizens negatively. Traditional socialism involves the government having control of production and distribution of goods. Although there is a factor of democratic control in which citizens have the right to participate in social decisions that affect them. Although the United States has both public and private sectors to their economy it is still important for the United States government pay attention to individuals in their economic classes in order to help individuals who are being affected by inflation, unemployment, and