Editing Washington Consensus (section)

==== Venezuela ====
{{Main|Second presidency of Carlos Andrés Pérez}}
[[File:Caracazo.jpg|thumb|A group of rioters attempting to push over a bus during the [[Caracazo]]]]
[[File:Caracazo military response.png|thumb|Venezuelan troops responding during the [[Caracazo]]]]
[[File:CANTV old logo.svg|thumb|CANTV's old logo, state telecommunications company privatized in 1991]]
In the 1980s, a [[1980s oil glut|fall in oil prices]] and the start of the [[Latin American debt crisis]] brought economic difficulties to Venezuela. Additionally, President [[Luis Herrera Campins]]' economic policies led to the devaluation of the [[Venezuelan bolívar]] against the US dollar in a day that would be known as ''[[Viernes Negro]]'' ({{langx|en|Black Friday}}).<ref name="axis">{{cite web|title=On the Anniversary of Black Friday: Venezuela's devaluation and inflation debacle from 1983 to 1998|url=http://www.axisoflogic.com/artman/publish/Article_26069.shtml|access-date=5 April 2019|website=Axis of Logic|archive-date=April 10, 2022|archive-url=https://web.archive.org/web/20220410053343/http://www.axisoflogic.com/artman/publish/Article_26069.shtml|url-status=live}}</ref> Following the oil price crisis, the Herrera Campins government declared bankruptcy to the international banking community and then enacted currency restrictions.<ref name="axis" /> The policies centred on the establishment of an [[exchange-rate regime]], imposing a restriction on the movement of currencies, and were strongly objected to by the then-president of the [[Central Bank of Venezuela]], [[Leopoldo Díaz Bruzual]].<ref>{{Cite web|last=Boon, Lisseth|date=18 February 2013|title=Un día como hoy el bolívar perdió su fortaleza|url=http://www.elmundo.com.ve/noticias/economia/politicas-publicas/un-dia-como-hoy-el-bolivar-perdio-su-fortaleza.aspx|access-date=20 August 2013|website=Sitio web de [[El Mundo (Venezuela)|El Mundo - Economía y Negocios]]|archive-date=September 3, 2014|archive-url=https://web.archive.org/web/20140903062958/http://www.elmundo.com.ve/noticias/economia/politicas-publicas/un-dia-como-hoy-el-bolivar-perdio-su-fortaleza.aspx|url-status=dead}}</ref> The currency controls devalued Venezuelan [[purchasing power]] by 75% in a matter of hours;<ref>{{cite web|date=June 2017|title=The Roots of Venezuela's Failing State: Economic Crisis and the Unraveling of Partyarchy|url=http://origins.osu.edu/article/roots-venezuelas-failing-state|access-date=5 April 2019|website=Origins: Cultural Events in Historical Perspective|volume=10|issue=9|archive-date=April 1, 2022|archive-url=https://web.archive.org/web/20220401094756/https://origins.osu.edu/article/roots-venezuelas-failing-state|url-status=live}}</ref> banks did not open on Viernes Negro, and even the Central Bank did not have many reserves of foreign currencies, causing the government to devalue the bolívar by 100%.<ref name="axis" />

[[Carlos Andrés Pérez]] based his campaign for the [[1988 Venezuelan general election]] in his legacy of abundance during his [[Carlos Andrés Pérez#First term as president|first presidential period]]<ref name="Marquez131">{{Harvsp|Márquez|Sanabria|2018|p=131}}</ref> and initially rejected liberalization policies.<ref name=":2">{{Cite magazine|last=Fastenberg|first=Dan|date=2011-01-10|title=Carlos Andrés Pérez|magazine=[[Time (magazine)|Time]]|url=http://content.time.com/time/magazine/article/0,9171,2040189,00.html|access-date=2021-04-09|issn=0040-781X|archive-date=September 29, 2021|archive-url=https://web.archive.org/web/20210929074617/http://content.time.com/time/magazine/article/0,9171,2040189,00.html|url-status=live}}</ref> Venezuela's international reserves were only US$300&nbsp;million at the time of Pérez' election into the presidency; Pérez decided to respond to the debt, public spending, economic restrictions and [[rentier state]] by liberalizing the economy<ref name="Marquez131" /> and proceeded to implement Washington consensus reforms.<ref name=":1">{{Cite web|title=Venezuela's Chavez Era|url=https://www.cfr.org/timeline/venezuelas-chavez-era|url-status=live|access-date=2021-04-09|website=[[Council on Foreign Relations]]|archive-date=May 17, 2022|archive-url=https://web.archive.org/web/20220517003924/https://www.cfr.org/timeline/venezuelas-chavez-era}}</ref><ref name=":2" /> He announced a [[Technocracy|technocratic]] cabinet and a group of economic policies to fix macroeconomic imbalances known as ''{{ill|El Gran Viraje|es}}'' ({{langx|en|The Great Turn}}), called by detractors as ''El Paquetazo Económico'' ({{langx|en|The Economic Package}}). Among the policies there was the reduction of fuel subsidies and the increase of public transportation fares by thirty percent (VEB 16 [[Venezuelan bolívar]]es, or US$0.4).<ref name="Marquez132">{{Harvsp|Márquez|Sanabria|2018|p=132}}</ref><ref name="Rivero102">{{Harvsp|Rivero|2011|p=102}}</ref><ref name="margarita_l_m_2003_p120-1">[[Margarita López Maya]], 2003. "The Venezuelan Caracazo of 1989: Popular Protest and Institutional Weakness", ''Journal of Latin American Studies'', Vol.35, No.1 (2003), pp 120-121 (See #Further reading).</ref> The increase was supposed to be implemented on 1 March 1989, but bus drivers decided to apply the price rise on 27 February, a day before payday in Venezuela. In response, protests and rioting began on the morning of 27 February 1989 in [[Guarenas]], a town near Caracas;<ref name="IACtHR">[http://www1.umn.edu/humanrts/iachr/C/58-ing.html El Caracazo Case, Judgment of 11 November 1999] {{Webarchive|url=https://web.archive.org/web/20160604024351/http://www1.umn.edu/humanrts/iachr/C/58-ing.html |date=June 4, 2016 }}, Inter-American Court of Human Rights, accessed 1 May 2007</ref> a lack of timely intervention by authorities, as the {{ill|Caracas Metropolitan Police|es|Policía Metropolitana de Caracas}} was on a [[Strike action|labor strike]], led to the protests and rioting quickly spreading to the capital and other towns across the country.<ref name="Rivero109">{{Harvsp|Rivero|2011|p=109}}</ref><ref name=":2" /><ref name=":1" />

By late 1991, as part of the economic reforms, Carlos Andrés Pérez' administration had sold three banks, a shipyard, two sugar mills, an airline, a telephone company and a cell phone band, receiving a total of US$2,287&nbsp;million.<ref name="Rivero180">{{Harvsp|Rivero|2011|pp=180–181}}</ref> The most remarkable auction was [[CANTV]]'s, a telecommunications company, which was sold at the price of  US$1,885&nbsp;million to the consortium composed of American [[AT&T]] International, General Telephone Electronic and the Venezuelan [[Electricidad de Caracas]] and [[Mercantil Banco|Banco Mercantil]]. The privatization ended Venezuela's monopoly over telecommunications and surpassed even the most optimistic predictions, with over US$1,000&nbsp;million above the base price and US$500&nbsp;million more than the bid offered by the competition group.<ref name="Rivero179">{{Harvsp|Rivero|2011|p=179}}</ref> By the end of the year, inflation had dropped to 31%, Venezuela's international reserves were now worth US$14,000&nbsp;million and there was an economic growth of 9% (called as an "Asian growth"), the largest in Latin America at the time.<ref name="Rivero180" /> The Caracazo and previous inequality in Venezuela were used to justify the subsequent [[1992 Venezuelan coup d'état attempts]] and led to the rise of [[Hugo Chávez]]'s [[Revolutionary Bolivarian Movement-200]],<ref name="HELLINGER">{{Cite book|last=Hellinger|first=Daniel|title=Comparative Politics of Latin America: Democracy at Last?|publisher=Routledge|year=2014|isbn=9781134070077}}</ref> who in 1982 had promised to depose the bipartisanship governments.<ref name="Marquez124">{{Harvsp|Márquez|Sanabria|2018|p=124}}</ref> Once elected in 1998, Chávez began to revert the policies of his predecessors.<ref>{{Cite web |date=23 February 2007 |title=Chávez builds his sphere of influence |url=https://www.nbcnews.com/id/wbna17294595 |archive-url=https://web.archive.org/web/20211208103035/https://www.nbcnews.com/id/wbna17294595 |url-status=dead |archive-date=December 8, 2021 |access-date=2021-04-09 |website=[[NBC News]]}}</ref>