crisis of capitalism

Argentina: 'villa' residents fast for city services

As of May 18 a group of Argentine activists were continuing an encampment they had set up on April 21 at the Obelisk in Buenos Aires' Plaza de la República to push their demands for improved services in the city's 17 marginal communities, known in Argentina as "villas." The action's sponsor, the leftist Independent Villa Residents' Current, was calling on the government of right-wing Buenos Aires mayor Mauricio Macri to declare a housing, health and educational emergency in the impoverished communities; to formalize their status as urban areas; to carry out audits of the cooperatives and businesses that work in the neighborhoods; and to regularize rents and housing subsidies. A statement by the group denounced what it called "the model of two cities that Macri proposes, where the rich city excludes the poor one…while officials of the city government don't hide their intention to fill their pockets." Leftist groups have confronted the Macri government in the past over plans that they say favor real estate interests over the needs of the majority of city residents.

Argentina: general strike targets Fernández policies

A large part of Argentina's labor movement participated a 24-hour general strike on April 10 to demand increases in wages and pensions and to protest the economic policies of President Cristina Fernández de Kirchner. With support from the Automatic Tramways Union (UTA) and three airline workers' unions, the strike shut down surface trains, subways, air service, schools and businesses in many parts of the country. Union leaders said the action was 90% effective, and the Argentine business consulting firm Orlando Ferreres & Asociados S.A. set the losses for the day at almost $1 billion. Government officials and Fernández supporters downplayed the significance of the strike, charging that relatively few workers actively participated and that people stayed home only because transportation was cut off by the UTA and by roadblocks that leftist parties and groups had set up.

Paraguay: first general strike in 20 years

Starting on the evening of March 25, thousands of Paraguayan unionists, campesinos and students participated in a 24-hour general strike to protest the economic policies of President Horacio Manuel Cartes Jara. Union sources said the action shut down transportation, schools and most businesses in Asunción. This was the country's first general strike in 20 years, and the first major demonstration against the government since President Cartes' inauguration last August. Cartes, a member of the rightwing Colorado Party, was elected in April 2013; the previous elected president, the left-leaning former Catholic bishop Fernando Lugo, was removed from office by Congress in a de facto coup on June 22, 2012, one year before the end of his term.

Ukraine, austerity and gas

Coverage of Ukraine's newly inked deal with the International Monetary Fund is like the proverbial blind men and the elephant. Russia Today's headline is "Ukraine parliament passes austerity bill required by IMF," whereas the EU-aligned EurActiv put it: "IMF extends generous assistance to Ukraine." Forbes smarmily goes one better with "Ukraine Welcomes IMF Austerity Regime." RT tells us: "It is ordinary Ukrainians who will suffer the most under the new austerity measures as the floating national currency is likely to push up inflation, while spike in domestic gas prices will impact every household." But Reuters fleshes out the context for this a bit: "Moscow will not make it easy and Ukraine is already feeling some consequences from its break with Russia. Prime Minister Arseny Yatseniuk said...the price the country would pay for Russian gas, which accounts for over half of Ukrainian gas imports, would soar by almost 80 percent from April 1 as the seizure of Crimea had rendered a cheaper gas deal obsolete." So it seems that Russia as well as the IMF is imposing privation on Ukrainians, and is especially responsible for the spike in gas prices.

Argentina: piqueteros press wage, service demands

Protesters tied up traffic in central Buenos Aires for more than five hours on Feb. 25 to press their demands for the center-left government of Argentine president Cristina Fernández de Kirchner to increase pay and benefits in government antipoverty programs. Police rerouted traffic around the demonstration, which blocked cars and buses at the Obelisk in the Plaza de la República. The action was organized by several groups, including Barrios de Pie ("Neighborhoods Standing Up"), Polo Obrero ("Workers' Pole"), the Federation of Grassroots Organizations (FOB) and the Labor Association of Self-Managed and Contingent Cooperative Workers (Agtcap). Protest leaders held a meeting with government representatives during the protest, but these were "second-level functionaries," according to Barrios de Pie national coordinator Daniel Menéndez. "[T]he government is turning its back on the complaints of the lowliest people," he said.

Brazil: 230 arrested in World Cup protest

In the latest protest against what activists say is the Brazilian government's diversion of funds from social services to sports events, more than 1,000 people marched in downtown São Paulo from the Praça da República to the Anhangabaú subway station on the evening of Feb. 22. The protest ended with some 1,000 agents of the militarized police using stun grenades and tear gas to disperse the marchers and making a total of 230 arrests. Among those arrested were five journalists, two photographers and three reporters; the reporters were from the newspapers O Globo and Folha de São Paulo and from the news website G1. Bruno Santos, a photographer for the Terra Brasil website, received an injury in his leg.

'Fascism' and the Ukraine protests

At least 25 are reported dead and more than 240 injured in clashes that erupted when Ukrainian protesters mounted a march on parliament Feb. 18, apparently ending a "truce" that had been worked out to allow negotiations. The march took place before a scheduled debate on reinstatement of Ukraine's 2004 constitution, which would rein in President Viktor Yanukovich's powers. The situation on the streets escalated as the bill was blocked by parliamentary staff who refused to register it on procedural grounds. The 2004 constitution was repealed in 2010, shortly after Yanukovich came to power, replaced by a new one granting him sweeping powers, including to appoint regional governors—a critical issue in Ukraine, with its divide between the more Russian-identified east and more European-identified west. (Jurist, WP, UN News Centre, Feb. 19; BBC News, EuroNews, Feb. 18)

Mexico: US planned bailout before NAFTA vote

According to a Feb. 8 article in the online magazine Salon, officials of the Federal Reserve, the de facto central bank of the US, were planning to arrange for a bailout of the Mexican peso in November 1993 to ensure that the North American Free Trade Agreement (NAFTA) would be ratified by the House of Representatives. While the US media and government officials—including Federal Reserve Board of Governors member Jon LaWare—were assuring Congress and the public of Mexico's financial stability, top Reserve officials were concerned that the peso might be facing a devaluation. In a Nov. 9 conference call that one official described as "of a sensitive international nature," Fed leaders discussed arranging a US-sponsored bailout if the currency failed.

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