Chavez Day 10.2.01. Learning Outcomes -Understanding how geographical situation affect development. -The ability to have an intelligent conversation over.

Chavez Day10.2.01

Learning Outcomes-Understanding how geographical situation affect development. -The ability to have an intelligent conversation over Spring Break.

Things don’t happen alone…

• …they happen in CONTEXT:• What is happening in a place as a result of forces operating concurrently at

multiple scales. • Essentially, a country is not insular, but it is influenced by other countries.• It’s the whole reason we care about Venezuela, Hugo Chavez disliked Bush,

etc.

Context (Cont.)

• The CONTEXT of today, is a result of things that happened in the past.• Colonialism is one of the greatest influences.

• Made the world capitalistic.

• Neo-Colonialism:• Politically independent, but the economy of former colonies is still controlled

by colonial powers. • Indirectly still control a country through limiting business or investment. • What good is cotton if you have no one to sell it to?

Structuralist Theory

• Structuralist Theory: • Points out that it is hard to change the world wide economy, it has a

structure. • Part of this structure is wealth centered in specific places (Core Countries, Developed

Nations, Former Colonies)• REMEMBER! Wealth begets wealth!!!

• Development Theory:• Part of what the structuralists say.

• Economic relationships between countries and regions control and limit the economic development possibilities of poorer areas. • Example: Giving investment money to a country to build an oil drill.

Dollarization…

• Dollarization:• When other countries tie their money into a wealthy countries economy

• May switch over completely to the dollar• May tie the value of their currency into the dollar.

• Dollarization furthers dependence on a foreign power.

(Debatably) Our Friend Hugo Chavez…• President of Venezuela (1999-2013). • Lot’s of love or hate for the guy.• Communist• Famed for his dislike of the U.S.• Famed for George W. Bush’s dislike of him• Led a coup d’etat while in the military, failed, got released and eventually elected president. • Bush may or may not have tried to kill Chavez.

Context

• Former colony. • Venezuela has oil.• Lot’s of it. • In fact, the most.• It maybe hiding some.• Oil has value b/c people need/want oil.

No to Neo-Colonialism

No.

• To Stop U.S. Involvement Chavez:• Privatized oil and other industries in Venezuela

• Privatized is government control (hence communism)• State run media sources/television• Lot’s and lot’s and lot’s and lot’s and lot’s and lot’s and lot’s of money from oil.

• Money from oil is state money.• Used money to fund social programs and reduce poverty.• Limited use and import of foreign money (dollarization)

• Felt the U.S. was trying to control Venezuela• Because they wanted greater say in oil.

Love and Hate

• Structuralist Theory Still In Place• Chavez did what he could to keep the U.S. out of Venezuela

• Almost the entire Venezuela economy is based off of oil exports.• Economic health of the country is based on the value of oil.

• Chavez made a lot of people angry…• But he had oil behind him.• Dependency theory says that without the oil Venezuela will possibly become

inconsequential and return to even higher rates of poverty.

Why he might not have been that great.• Lot’s and lot’s and lot’s and lot’s of corruption. • Money kind of disappearing and all of Chavez’s family members are in the

government.

• Had “free” elections that may not have been very free (remember state controlled media). • Economy is entirely dependent on oil (40% to U.S.)• Import’s food