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Abstract:
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"For almost all of its political history Chile has been a highly State-centered society. Although the nation's principal exports and main economic activities were generated in the deserts of the north, the central valley and the southern agricultural provinces, wealth and power were concentrated in Santiago, the political capital. Government policies and initiatives defined the direction, character and limits of private initiative.
"Over time, the growth of the political and administrative system also concentrated social and economic opportunities in the country's most important metropolis. This was especially true for professionals, academics, technicians and political elites. Even entrepreneurs and business executives depended upon government-created opportunities and policies. Financial, agricultural and industrial activities responded to a panoply of government subsidies, loans, currency manipulation and protectionist tariff policies. Public enterprises and enterprises financed or stimulated by government programs, played an ever larger role in Chilean economic life."
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