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The "Miracle of Chile" is a phrase coined by Milton Friedman, to describe the economic reform of Chile under Augusto Pinochet between 1973 and 1983.Pinochet, under the advice of Friedman and other US free market economists, launched an era of economic deregulation and privatization. To accomplish his objectives, he abolished the minimum wage, recinded trade union rights, privatized the pension system, state industries, and banks, and abolished taxA tax is an involuntary fee paid by individuals or businesses to a government. Taxes may be paid in cash or kind (although payments in kind may not always be allowed or classified as taxes in all systems). The means of taxation, and the uses to which thees on wealthWealth usually refers to money and property. It is the abundance of objects of value and also the state of having accumulated these objects. The use of the word itself assumes some socially-accepted means of identifying objects, land, or money as "belongi and profitProfit is what is gained, after costs are accounted for. In accounting, this is usually measured in monetary terms. In economics, profit is most often measured differently, since costs are opportunity costs. Profit is income received by buying low and sels.
Supporters of Friedman's view argue that subsequent events in Chile have vindicated his theories; because Chile's economy is noticeably stronger and more advanced than those of other Latin American nations, and that the development of a large middle class eventually forced the military junta under Pinochet to relinquish power to a democratic government.
Critics use the term miracle of Chile in a sarcastic fashion, " CinderellaGustave Dore's illustration for Cendrillon ''This article is about the fairy tale. In philatelic usage, a cinderella is a label resembling a regular postage stamp, but that is not valid for prepayment of postage: see artistamp. Cinderella is also a hard r's pumpkin did not really turn into a coach. The Miracle of Chile is just another fairy taleA fairy tale is a story, either told to children or as if told to children, concerning the adventures of mythical characters such as fairies, goblins, elves, trolls, giants, and others. The fairy tale is a sub-class of the folktale. These stories often in." ( 1 -- p.72The Best Democracy Money Can Buy (BooksEnthsiast.com, Penguin Plume USA) is a 2002 book written by Greg Palast. It is about corporate corruption, finance, globalization, political corruption, and the United States presidential election of 2000. External link). They point out that the "miracle" began with a coup that overthrew the democratically elected Chilean president Salvador AllendeSalvador Allende Gossens (pronounced, SAMPA: [salvaDor aj\EndE]; IPA: salado aεnde) ( July 26, 1908 September 11, 1973) was president of Chile from 1970 until 1973, when he was overthrown in a military coup d'etat (see Chilean coup of 1973), durin ( 1971- 1973), starting a dictatorship that would be responsible for extensive human rights crimes, including the political murders of at least three thousand Chileans. Critics also note that the unemployment rate increased from 4.3 % in 1973, to 22% in 1983. Meanwhile, real wages declined by 40%. Pinochet promised to "make Chile not a nation of proletarians, but a nation of entrepreneurs".
The experience of Chile in the 1970s and 1980s, and more particularly the model of authoritarian political control combined with neo-liberal economic policies, has influenced the policies of the Communist Party of China and been invoked as a model by economic reformers in other countries.
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