tter governments and their ability to create efficient, coherent coalitions allowed them to combine a free market policy with equitable development. There is no doubt that the governments ability to develop and strengthen itself by developing an underlying political culture of coalitions was its greatest assets. Therefore, the democratic leadership has made every effort to seek consensus on economic policy, build a cohesive encompassing organization, in sharp contrast to the authoritarian government of Russia. The Concertacion party crafted tacit agreements amongst the public, adhering to their preferences. The labor, peasant, middle-class constituencies, and the business classes all developed in the social capital, developing power against the military oligarchy. This slows the proliferation of black markets, and institutional corruption, two problems plagued by most newly developed democratic states. Hence, rather than submit to the orthodox view that dismantling the state through sharp economic reforms that profit the rich, the Chilean democratic government reconstructed the state. This gave it not only macroeconomic development, but also in promoting human development via investment in human capital, and management of social programs. These ended the shock therapy treatment that in its inception worsened the problems facing the Chilean economy and people. Chiles present program stresses that responsive and relatively well-institutionalized political parties with strong links to civil organizations are necessary to building a developmental state. Other democratizing Latin American countries like Brazil, Peru, or Argentina have only been able to elect popular presidents who have broad executive, if not authoritarian powers. These countries as with Russia will only demonstrate a limited capacity to make the necessary reforms because of their lack of internal cohesiveness....
