Economic Depression

The crisis in development around the world is no small thing, this is the worst since the Great Depression of the 30'sy years has already caused bankruptcies of large banks and companies and millions of unemployed. In our country, and throughout Latin America, the impact will be (and is) far-reaching, because the economic growth of recent years in the region was supported by the significant increase in demand and prices of raw materials for industrial production in developed countries and China, but this is the cycle that breaks down, as U.S. and major countries of Europe have fallen into recession (stagnation and protracted decline of industrial and economic activity in general) and the China economy shrinks rapidly.

The current economic crisis is shaking the myths about the virtues of "free market" that provided the ideological basis for the neoliberal offensive of the last 40 years. Those who had announced the "end of history" and the final triumph of the capitalist system today intended to terrorize the population, which opposes bail out the billionaires on Wall Street, saying that if they are not all rescues are going to suffer consequences.

As in previous crises, the financial elite and the U.S. capitalist state, like their peers in the European Union and Latin America are attempting to impose a policy that involves a transfer of resources from society, the work product of millions of people toward the wealthier segments, which have grown immensely during the wealth boom of neoliberalism.

Today in Chile, unemployment reached 12,8 per cent in Santiago in March 2009, according to a study by the Faculty of Economics, University of Chile, which represents an increase of four points (in percentage) compared to 8,8 per cent in March 2008. This is the worst level since September 2003 and represents 363,900 people out of work. Economists say in the various newspapers and magazines, despite the anti-government, unemployment in Santiago could reach 15 percent in winter.