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"The market is necessarily cruel? Simply spectacular

Few phrases have generated so much impact and as the sharp reactions by Don Patricio Aylwin in the beginning of his mandate: "The market is cruel."
The significance of the words of former President of the Republic is clear and blunt: No one can stand still against the social dramas produced by the socio-economic system in place for the military regime.
To some extent it can be argued that this short sentence could summarize mastered the "ethos" of the Coalition as a political coalition: The model inherited from the dictatorship should be amended to enable all Chileans agreed in an equitable manner the benefits of growth economic.
Notwithstanding the foregoing, I deem it necessary to notice an aspect of the sentence we have been discussing and, in my opinion, has been given for a series of misunderstandings.
The market is an economic tool, and as such can not be cruel per se. market as a means of allocating scarce resources in complex societies can only be cruel to the extent that we forget that the exercise of freedom implies the convergence of a number of conditions that make it possible.
When we omit to notice this vital aspect, as if wishful and naive to all stakeholders concur to exercise their freedom endowed with an identical trade negotiation capacity, inevitably obtain a cruel market that makes the abuse of the most powerful expense of the many weak, small and uninformed. Freedom of the mixed results in the tyranny of the strongest.
However, when we are aware of the existence of constraints on freedom issues with which economic agents operate on the market, can intervene in socio-economic variables that make it possible abuses of the most powerful agents or preparations on the smaller and weaker, be possible in this way that everyone has access the known benefits of the market as a means of resource allocation: Creating Wealth, efficient allocation of welfare, encouragement of innovation, free choice of goods and services purchased, incentives for quality. Concisely, the law is responsible for placing on an equal footing than initially uneven, making possible the effective exercise of freedom of trade. Given these
circumstances, the market an instrument ceases to be cruel and incompatible with a Christian humanist project of society, to become a valid tool and supports a community partnership and to make possible the exercise of the freedom of individuals and develop their potential. Attended
foregoing, parties and governments have no Christian humanist position against the market loaded with prejudice to its possible cruelty, but must do whatever is necessary to create conditions that enable the agents carry out their transactions trade on a footing of equality.

How is this reflected?:

The introduction
• clear economic regulations where necessary, imposed by regulatory bodies endowed with sufficient financial resources and highly qualified personnel.
• in handing down proper rules of protection of free competition and consumer protection.
• In fostering and protection of small and medium enterprises.
• in stimulating the formation of cooperatives / small communities of farmers, industrialists and artisans.
• in control of some contractual relationships through the introduction of "targeted contracts."
• and training in the protection of union organizations.
• En la promoción popular, concretada en el fortalecimiento de las juntas de vecinos, asociaciones de consumidores, centros culturales, etc.
• En la protección del medio ambiente.
• En la imposición del servicio universal en los sectores regulados de utilidad pública.
• En la difusión de las tecnologías de la información y la alfabetización digital.
• En las políticas anti-discriminación.
• En las exenciones tributarias a los sectores más débiles de nuestra sociedad, etc...

En definitiva, en la consolidación de un modelo de Economía Social, en el que el mercado deja de ser sinónimo cruelty and inequality, and then turns into an instrument of personal and social development.
I have no very clear if this is what some people suggest talking to "correct the model." For my part, I think more than "amend" the model "inherit" the dictatorship and the Chicago Boys, it must consolidate this other model, epistemological and philosophical bases of which are profoundly different and even antagonistic. José Luis Corvalan

Law Student University of Chile
DCU