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The Los Angeles Times from Los Angeles, California • 73

Location:
Los Angeles, California
Issue Date:
Page:
73
Extracted Article Text (OCR)

6 Part Sunday, September 28, 1980 floe Angeleg Slimes RESHAPING OF CHILE CHILE'S ECONOMY BASED ON ITS VAST MINERAL DEPOSITS takeover but who now are asking if arbitrary power is still necessary. Other officials say that it was from both the right and the left that led Pinochet to call for the plebiscite in order to show opponents in all camps that he remains in control with general popular support "The general is confident that the people will continue to back him," said one political adviser to the government, "particularly as long as he provides a growing economy and continuing stability." It is clear that one of the strengths of his rule has been the steadily improving economy. He has instituted a return to a relatively free market economy with diminishing government control of industry. The result has been more and cheaper consumer goods, a gradual lowering of inflation and a drop in unemployment At this moment, inflation is well below 30, and the jobless rate is now down to 12. At the same time, social welfare Please Turn to Page 8, Col.

6 Allende accelerated some of the programs undertaken by Frei, including land reform and nationalization of the more important foreign-owned enterprises, and began a sweeping redistribution of social benefits. In the process, he alienated much of the middle class, the legislature and, ultimately, the army. In September, 1973, army units moved against the presidential palace in downtown Santiago. Allende was killed and a military junta headed by Maj. Gen.

Augusto Pinochet was installed. Within months, Pinochet emerged as head of state, while the other members of the junta gradually moved into subordinate posts. -FRANCIS B. KENT 'Spring Storm' Hits China BEIJING OB-Long lines of women formed outside one of Beijing's main department stores recently when perfume was put on sale for the first time in years. Many of those in the lines were women soldiers in uniform.

The perfume is called Spring Storm. Continued from 5th Page Government officials claim that such incidents are rare and not sanctioned by the regime, an assessment generally shared by American diplomatic sources. "Torture here," one such source said, "is not normal behavior, and is not part of a government program." Rather, he said, "it is a sporadic reaction by local police and security units to the occasional violence carried out by opponents of Pinochet, both from the left and right" These sources agree with Pinochet officials who claim that even those people arrested for demonstrating against the plebiscite were held only briefly with no serious mistreatment And in an earlier incident following the assassination of an army colonel, Pinochet ordered the arrest and prosecution of security agents charged with torturing people who were suspected of involvement in the killing. Although political opponents of Pinochet and the liberal wing of the Roman Catholic church claim that the government continues to prac-ticie serious human rights violations, the record over the last two years shows steady improvement, particularly when compared to Argentina or, more recently, Bolivia. Furthermore, there has been increased press freedom and political opponents generally are allowed freedom of expression in spite of the official ban on political activity.

"This is the result of two factors," a diplomatic source said. "First is that Pinochet, although he clearly wants to control things, is the product of a military that is traditionally uncomfortable in politics and prefers a constitutional government "Secondly, he is under increasing pressure to liberalize." More and more, the source said, the pressure is coming from conservatives who backed the Pinochet Because of its geography, Chile has often been compared with California. Both are long and narrow, with a lengthy Pacific coastline, and both have deserts and snow -covered mountains and world-renowned resort areas. But there the similarity ends. California's broad valleys are among the world's most productive farmlands, but only about 2 of Chile's 286,396 square miles are under cultivation.

Chile's wealth lies in its mineral deposits nitrates, coal and iron ore but chiefly copper. Chile is the world's No. 3 producer of copper, and copper has accounted for as much as 83 of its annual export earnings. Thus the nation's economic fortunes rise and fall with the world price of copper. Per capita income is estimated at slightly more than $1,500 a year.

The population, increasing at a rate of about 1.5 a year relative ly low for Latin America is estimated at slightly less than 11 million. Roughly 95 of the people are of European or mixed European stock, and almost 90 of them are Roman Catholics. Illiteracy is estimated at 10. Successive governments have sought to expand the fishing industry and to improve agriculture, but the need to import food has long plagued the economy. This factor, coupled with inflation that has frequently exceeded 100 a year, has made for virtually insurmountable budget difficulties.

The election of Eduardo Frei Montalva, in 1964, was hailed as the opening of a period of far-reaching economic and social reforms that would resolve many of Chile's problems. But the Frei government failed to move quickly enough and, in 1970, the voters chose as his successor an avowed Marxist, Salvador Allende. mow Sears Men's Cushioned Work Shoes feirrffb (grnrre (Chnfta? i i. i in II a Men's 6 -In. Moc Toe Shoes Regular $43.99 JcP Pr.

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