Wednesday, 28 January 2015 10:04

By Chris Williams and Marcela Olivera, Truthout | News Analysis

As through so much of its history, the small Andean nation of Bolivia sits at the center of a whirlwind of political, social and climatological questions. Arguably, no other country thus far in the 21st century raises the question of an "exit strategy" from neoliberal capitalism more concretely, and with greater possibility and hope, than Bolivia. That hope is expressed specifically in the ruling party, MAS, or Movement Toward Socialism. The country's leader, former coca farmer and union organizer Evo Morales - South America's first indigenous leader since pre-colonial times - was overwhelmingly elected to his third term of office in 2014. Morales has broadly popularized the Quechua term pachamama, which denotes a full commitment to ecological sustainability, and public hopes remain high that he'll guide the country toward realizing that principle.

Bolivia has seen impressive and consistent economic growth since Morales' first election victory in 2006, including the establishment of government programs to alleviate poverty and attain the social equity goals promised in his campaign. However, this growth has primarily rested on an expanded and intensified exploitation of the country's natural resources, principally from fossil fuel production, mining, and the growth of large-scale, mono-crop agriculture and manufacturing.

This economic growth has also created what the Bolivian non-governmental organization CEDLA (Centro de Estudios Para el Desarrollo Laboral y Agrario) calls the rise of a new bourgeoisie comprised of Santa Cruz agriculture producers, traders from the west of the country and small mining producers. The Bolivian government also believes that a new class is emerging, and will become Bolivia's new dominant group. Carlos Arce, researcher from CEDLA, says in an article in the Bolivian press:

A new type of entrepreneur has emerged from the popular classes. These emerging strata are mostly traders and are also present in the cooperative sectors, especially in mining. This new type of entrepreneur saves more and has a more austere mentality, in the classical Weberian sense. Within the state, representatives of this strata interface with middle-class intellectuals and other sectors of society, seeking to build alliances with small urban and rural producers that respond to the prerogatives of the market.

The so-called "plural economy" institutionalized by the government recognizes the state, communitarian, private and cooperative forms of economic organization. It also puts the state in direct control of the plans for economic development. In other words, the Bolivian people are the owners of the natural resources, but it is the state that administers and industrializes these natural resources.

In Arce's view, the government exalts this new "emerging bourgeoisie." The government's program of a plural economy "facilitates the alliance of these market-driven sectors with key sectors of international capital. This opens the door to transnational corporations and makes permanent their presence."