To give in to the MRTA's demands might embolden the more dangerous Shining Path guerrillas to carry out similar moves to free their comrades, and would certainly cause problems for his alliance with Peru's hard- line military. The takeover came at a difficult time for Fujimori, whose popularity rating has been steadily declining over the past year.
Jobs are scarce and the economy is stagnating.
As his economic model unravels, tolerance for his authoritarian style is wearing thin. And, after publicized rows with the armed forces, his principal alliance is showing signs of strain. Analysts say that the police were aware of attempts by the MRTA to regroup in the last several months, but their efforts to re-assemble a special task force to begin intelligence gathering came too late. In part, the security forces were far too willing to believe the government's own propaganda that the guerrilla movements had been wiped out. The local and international press ate up Fujimori's propaganda like candy, churning out stories about the government's success in controlling inflation, stopping the guerrillas, and installing a free-market paradise.