[LINK] "The silences of Argentina’s election"

[rfmcdonald]

Daniel Voskoboynik at Open Democracy is critical of the model of economic development in Argentina particularly, concentrated on the extraction of natural resources. As a Canadian, this sounds altogether too familiar.

Over the last two decades, Argentina and much of Latin America have seen the entrenchment of extractivism, a particular economic model based on the intensive exploitation of natural resources to be sold on the global markets. Under extractivist policies, the economy centres on the production of primary exports, and on the location of new sources of natural wealth.

While this model can bring vast windfalls when commodity prices are high, many social movements and scholars have raised significant questions about the impact, sustainability and social value of extractivist projects in the medium term. Such scrutiny, however, has hardly penetrated the mainstream media discussions or the political chatter mill.

Extractivism is no new phenomenon in the region. Under the colonial dominion, Latin American territories were essentially the object of plundering of raw materials. Contemporary extractivism, however (also known as progressive extractivism), tends to be wrapped in beneficial alibis: governments assert that the revenues accrued through commodity royalties and taxes will be distributed and devoted to social projects. In other words: the more they can extract, the more money they raise; and the more money they raise, the more they can fund.

During the twelve years of Kirchnerista rule, extractivism has become the prevailing feature of Argentina’s economic development. Prompted by global commodity prices and government policies, the country has experienced a major boom in extractive sectors such as agribusiness, mining, and hydrocarbon extraction.