Government & PoliticsPartially True
Chicago Boys + Pinochet economic reforms (1973-1990)
Beginning in the mid-1950s, an exchange programme between the University of Chicago economics department and the Catholic University of Chile sent Chilean students to study under Milton Friedman and Arnold Harberger. The resulting cohort β nicknamed the "Chicago Boys" and including Sergio de Castro, Pablo Baraona, Γlvaro BardΓ³n, and Jorge Cauas β implemented sweeping free-market reforms after the September 11 1973 coup that brought Augusto Pinochet to power. The reforms included mass privatisation of banking (1976-78) and pensions (1981 AFP system), steep tariff reductions, and central-bank independence. Their record is disputed: initial successes were followed by the severe 1981-83 recession and 1982 banking crisis. Naomi Klein's 'The Shock Doctrine' (2007) argued the reforms required authoritarian repression to implement; critics of Klein argue she overstated the causal link.
8 sources3% confidencebeing upgraded