Democratic Socialist on the Von Mises Institute’s Lies About the Pinochet Coup

I’ve blogged several times about the Von Mises Institute. They take their name from Ludwig Von Mises, one of the founders, along with Von Hayek, of modern libertarianism.

And they’re a deeply, deeply unpleasant lot. They hate the welfare state, demand the complete privatisation of every state enterprise or service, and are thoroughly racist. Von Mises’ himself was a member of Dollfuss’ austrofascist government, before fleeing to America when the Nazis invaded. He was instrumental in setting up the Chicago School, which included Milton Friedman, the father of Monetarism, and which provided the economic doctrines for Pinochet’s disgusting regime in Chile. Von Mises, like Friedman, used to go down there to see how their doctrines were working out under the old dictator.

During the Cold War they used to publish pseudo-scientific racist and eugenicist literature, arguing that Blacks were mentally inferior to Whites, and that there was no point in setting up a welfare state, as you’d just be wasting your money keeping alive the biologically unfit. Which means Blacks, as well as poor Whites. Or indeed, anyone who isn’t rich and White. More recently they’ve been pushing the lie that the American Civil War wasn’t about slavery, but about tariff control and states’ rights. Which is rubbish, because the leaders of the Confederacy said they were going to war to defend slavery.

In this video, Democratic Socialist, who sounds Antipodean to my ears, tears apart the lies in an article about the Pinochet coup by George Reisman in the Institute’s wretched journal.

Reisman claims that Pinochet was absolutely correct to overthrow the government of the Marxist president, Salvador Allende, because Allende was planning to overturn democracy and incarcerate and kill millions in concentration. Pinochet did not do any of this himself. If he had lived in Germany, he would have stopped Hitler coming to power, and would similarly have overthrown the Russian Revolutionaries under Lenin.

This is all hogwash.

Democratic Socialist uses the Pinochet Coup to demonstrate that it seems to bear out Trotsky’s comments that Fascism is the highest stage of capitalism, when it is challenged by the workers. He begins by stating that capitalism is the system under which the means of production are owned privately by a group, which then forms the working class. It needs a state apparatus to defend itself from being attacked and taken over by the exploited workers. This is followed by footage of Hitler’s ‘Minister for Public Enlightenment’, Nick Robins-, sorry, Josef Goebbels, ranting about how Hitler had saved Germany from the threat of Bolshevism. Just as Pinochet claimed he had saved Chile from Communism.

In fact, Allende had been democratically elected and his government had been in power for three years when Pinochet overthrew him. Allende himself never imprisoned anyone, did not shut down any opposition radio stations or newspapers, nor set up a single concentration camp.

But Pinochet certainly did. He imprisoned thousands of Chilean left-wingers. If you read the text shown in the video, it gives the number of people imprisoned by the b*stard as 3,000. Reisman claims that these victims were not innocents. They were. One of them was Victor Jara, a popular singer and musician. Apart from imprisoning and torturing members of the Chilean left, he also used football stadiums as the venues for their execution.

As for preventing Hitler from coming to power, Democratic Socialist points out that both Hitler and Pinochet had the backing of the capitalist class, and both claimed they were saving their countries from Marxism. This is accompanied with footage showing troops in coal-scuttle helmets doing a kind of goose-step. They could be Nazi storm-troopers, but they’re not. Democratic Socialist doesn’t point this out, but they’re actually Chilean soldiers. Pinochet was a fan of Adolf Hitler, and deliberately modelled the uniforms of the Chilean army on those of Nazi Germany. And to anyone from the Right, who wants to dismiss this as coming from a tainted left-wing source, I didn’t get it from a left-wing newspaper. It came from an article in the Daily Mail years ago. So definitely not from a left-wing source!

Democratic Socialist also puts Reisman right about the possibility that Pinochet would have saved Russia from Communism. Well, that was what the Russian Civil War was about, when the Whites tried to overthrow the Bolsheviks. They had thousands of little Pinochets, but were defeated as they faced an army of armed revolutionaries, not unarmed, innocent civilians.

He then goes on to demolish the claim that Pinochet stepped down voluntarily in 1988. He didn’t. He was forced out by the other members of his vile junta after he lost a referendum. Pinochet himself was planning to overturn it.

And unsurprisingly, Reisman claims that Pinochet’s economic reforms benefitted ordinary Chileans. They didn’t. They simply plunged them into even worse poverty.

Democratic Socialist also compares Pinochet’s regime with Castro’s revolution in Cuba. Pinochet overthrew a democratically elected government, and imprisoned and tortured innocents. Castro, by contrast, overthrew the Bautista dictatorship, which was also supported by the capitalists, and which had killed thousands of political opponents.

He also takes issue with the claim that capitalism has not killed anyone, or is not responsible for the same number of deaths as global communism. He shows this to be untrue by citing the figures for the famines in China and India created by capitalism, and of the horrific punishments inflicted by capitalist regimes when their workers aren’t productive enough.

He ilustrates the last with pictures of Black Africans with missing limbs. These are from the poor indigenous people of Zaire, formerly the Belgian Congo, when it was the personal possession of King Leopold in the late 19th and early part of the 20th centuries. These people were forced to cultivate and produce rubber for the king. If they were unable to meet their quotas, they were flogged or had their hands and feet hacked off. If you want to see the photos for yourself, along with some of the other grim depictions of slavery and the slave trade through the ages, try Susan Everett’s Slavery, published by Buffalo Books. It’s a big coffee table book, rather than academic text, but it does cover slavery throughout history, including the ‘Coolie Trade’ in indentured Indian and Chinese migrant workers.

This is very much the type of pernicious lies which the Republicans and the Libertarian wing of the Tory party over here have been trying to spread about Pinochet’s regime in Chile. Thatcher was very much part of the Libertarian wing of the Tory party, and she was very much a friend and admirer of the old b*stard, when he came over here for medical treatment. Or to evade arrest after a left-wing government took charge of the country.

And far from Allende destroying democracy and setting up concentration camps, part of what made him so dangerous to the Americans was that he was democratically elected and was not destroying democracy in Chile. This undermined the right-wing attempts to present Communism as a threat.

The Communist regimes have been responsible for massive repression and famine across much of the world, from Stalin’s Soviet Union to Mao’s China. I wouldn’t like to say that capitalism has killed more people than Communism, but it has certainly produced millions of deaths. For example, capitalist ideas about the sanctity of free trade were partly responsible for a horrific famine in India, which carried off millions. See the book Late Victorian Holocausts, which is shown in one of the pictures in the video above.

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