 Daniel Treisman, Stabilization Tactics in Latin America: Menem, Cardoso, and the Politics of Low Inflation In the 1990s presidents Menem of Argentina and Cardoso of Brazil reduced their countries¡¯ chronic inflation rates to close to zero. Not since 1944 in Argentina and 1937 in Brazil had inflation stayed so low for so long. How did these leaders succeed where so many had failed? Models of the political economy of reform, which focus on crisis, the electoral calendar, wars of attrition, party control of veto points, or the enhanced credibility of left-wing converts to neoliberalism, do not provide convincing explanations. Success depended instead on other particular tactical choices. The article identifies the stakeholders impeding reform and analyzes Cardoso¡¯s and Menem¡¯s tactics to marginalize some while coopting others. |